Answer the following question(s)using the information below:
Garry's Golf Supplies is a local retail outlet which sells golf balls.Garry's purchases the golf balls from Green Grass Incorporated at $0.75 per ball; the golf balls are shipped in cartons of 72, FOB destination.Annual demand is 172,800 golf balls at a rate of 3,322 balls per week.Garry's Golf Supplies earns 12% on its cash investments.The purchase order lead time is one week.The following cost data are available:

-If Garry's Golf Supplies makes an order (1/12 of annual demand)once per month, what are the relevant total costs?
A)$1,500.00
B)$2,085.67
C)2,225.00
D)$3,000.00
E)$680.00

Question

Answer the following question(s)using the information below:
Garry's Golf Supplies is a local retail outlet which sells golf balls.Garry's purchases the golf balls from Green Grass Incorporated at $0.75 per ball; the golf balls are shipped in cartons of 72, FOB destination.Annual demand is 172,800 golf balls at a rate of 3,322 balls per week.Garry's Golf Supplies earns 12% on its cash investments.The purchase order lead time is one week.The following cost data are available:
 
-If Garry's Golf Supplies makes an order (1/12 of annual demand)once per month, what are the relevant total costs?
A)$1,500.00 
B)$2,085.67 
C)2,225.00 
D)$3,000.00 
E)$680.00

Quizplus · Accepted Answer

The Answer of Answer the following question(s)using the information below:
Garry's Golf Supplies is a local retail outlet which sells golf balls.Garry's purchases the golf balls from Green Grass Incorporated at $0.75 per ball; the golf balls are shipped in cartons of 72, FOB destination.Annual demand is 172,800 golf balls at a rate of 3,322 balls per week.Garry's Golf Supplies earns 12% on its cash investments.The purchase order lead time is one week.The following cost data are available:
 
-If Garry's Golf Supplies makes an order (1/12 of annual demand)once per month, what are the relevant total costs?
A)$1,500.00 
B)$2,085.67 
C)2,225.00 
D)$3,000.00 
E)$680.00

Answer the Following Question(s)using the Information Below