Please show the steps/calculations along with the answers.
Question 1: You look at your most recent financial statements where you find the data below. Using this data calculation the following:
(1) inventory turnover rate
GOGS 3,600,000
Average Inventory 300,000
Question 2:
Based on the data below calculate the following:
(1) total annual order cost
(2) total annual inventory carrying cost
Number of orders per year: 12
Average Inventory (units): 8,572
Order Cost: $1,500
Value per Unit $35
Carrying cost 15%
Question 3:
Based on Question 2, the organization is currently operating at the EOQ?
True or False?