This preview shows pages 1–5. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
Unformatted text preview: 0/24 Year $8,333 12 They would $100,000 Yes, shift p TIME VALUE OF MONEY APPROACH TO SOLUTION Current Situation: Proposed Approach Current Payroll Cost in PV terms: $0.00 Proposed Payroll Cost in PV terms: $0.00 Financial Benefit of Change $0.00 Each Month Length of Deferral (in years) Amount Deferred ld save $100000.00 in cash alone. payroll to Monthly. PROBLEM 733 C = Carrying Cost Interest Cost Other carrying cost C = Carrying cost per unit O = Ordering Cost N = Cans purchased per year where Q* is the optimal amount to order at one time. Q* = N/Q = CC = OC = TC = CC = OC = TC = Q ON C * = 2...
View
Full
Document
This note was uploaded on 02/14/2011 for the course ACCT 267 taught by Professor Psomostithis during the Spring '11 term at Bergen Community College.
 Spring '11
 Psomostithis

Click to edit the document details