If the relevant incremental costs are $5000 and the relevant opportunity cost of invested capital is $2500, then the relevant inventory carrying costs would be ____________?

Related Mcqs:

1. If the relevant opportunity cost of capital is $2950 and the relevant carrying cost of inventory is $6700, then the relevant incremental cost will be _____________?

   A. $9,650
   B. $2,350
   C. $3,750
   D. $2,750

2. The relevant incremental costs are added into the relevant opportunity cost of capital to calculate ___________?

   A. purchase order costs
   B. relevant inventory carrying costs
   C. irrelevant inventory carrying costs
   D. relevant ordering costs

3. If an average inventory is 2000 units, annual relevant carrying cost of each unit is $5, then the annual relevant carrying cost will be __________?

   A. $5,000
   B. $4,500
   C. $5,500
   D. $6,000

4. The relevant ordering costs are added into relevant carrying costs to calculate __________?

   A. relevant total costs
   B. contribution costs
   C. throughput costs
   D. optimized costs

5. If the required rate of return is 12% and the per unit cost of units purchased is $35, then the relevant opportunity cost of capital will be ____________?

   A. $6.20
   B. $7.20
   C. $4.20
   D. $5.20

6. An average inventory in units is multiplied with annual relevant carrying cost of each unit to calculate ____________?

   A. annual irrelevant ordering costs
   B. annual relevant carrying costs
   C. annual relevant ordering costs
   D. annual irrelevant carrying costs

7. The per unit opportunity cost to the selling subunit of company, is added into per unit incremental cost is incurred at point of transfer to calculate ____________?

   A. minimum operating cost
   B. maximum operating costs
   C. maximum transfer price
   D. minimum transfer price

8. If the opportunity cost per barrel is $45 per unit, incremental cost per barrel is $65, then minimum transfer price will be __________?

   A. $45
   B. $110
   C. $20
   D. $65

9. If the budget sales units are 5000, the ending inventory is 4000 units and the beginning inventory is 1000, then the budget production will be __________?

   A. 4000 units
   B. 5000 units
   C. 8000 units
   D. 10000 units

10. If the demand in units are 18000, relevant ordering cost for each year is $150 and an order quantity is 1500, then annual relevant ordering cost would be __________?

    A. $200
    B. $190
    C. $160
    D. $180