Inventory management. Here are facts about inventory costs for Swifty Shoes, a retailer:
Differential Costs per Order $100
Total Units Purchased per Year 50,000 Units
Differential Carrying Costs per Unit of Inventory $5 per Unit
Prepare a table like Exhibit 7.14. Find the costs of ordering and carrying inventory for each of the following number of annual orders: 40 orders, 50 orders, 60 orders.
Text Book: Managerial Accounting: An Introduction to Concepts, Methods and Uses By Michael Maher, Clyde Stickney, And Roman Weil.