## (solution) 4 ABC Company sells 2,243 chairs a year at an average price per

 4 ABC Company sells 2,243 chairs a year at an average price per chair of \$191. The carrying cost per unit is \$24.34. The company orders 441 chairs at a time and has a fixed order cost of \$90.2 per order. The chairs are sold out before they are restocked. What are the total carrying costs?
 5 In New York, you can exchange \$1 for ?0.8957 or £0.703. Suppose that, in Berlin, £1 costs ?1.1576. How much profit can you earn on \$33,296 using triangle arbitrage?
 6 Suppose the exchange rate between U.S. dollars and Swiss francs is SF 1.2437 = \$1.00, and the exchange rate between the U.S. dollar and the euro is \$1.00 = 1.1136 euros. What is the cross-rate of Swiss francs to euros (SF/Euro)?
7
 ABC Company sells 2,976 chairs a year at an average price per chair of \$161. The carrying cost per unit is \$15.22. The company orders 500 chairs at a time and has a fixed order cost of \$101 per order. The chairs are sold out before they are restocked. What is the economic order quantity?

13
 ABC Company sells 2,014 chairs a year at an average price per chair of \$126. The carrying cost per unit is \$39.72. The company orders 365 chairs at a time and has a fixed order cost of \$82.8 per order. The chairs are sold out before they are restocked. What are the total shortage costs?
4 ABC Company sells 2,243 chairs a year at an average price per chair of \$191. The carrying cost per unit is \$24.34. The com

orders 441 chairs at a time and has a fixed order cost of \$90.2 per...

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