Aberwald Corporation Expects to Order 126,000 Memory Chips for Inventory

question 20

Multiple Choice

Aberwald Corporation expects to order 126,000 memory chips for inventory during the coming year, and it will use this inventory at a constant rate. Fixed ordering costs are $200 per order; the purchase price per chip is $25; and the firm's inventory carrying costs is equal to 20 percent of the purchase price. (Assume a 360-day year.)
-What is the economic ordering quantity
For chips?

• A) 12,088
• B) 3,175
• C) 6,243
• D) 13,675
• E) 8,124

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Definitions:

Cultural Pre-competence

Describes the awareness and initial efforts of individuals or organizations to understand and respect different cultures, with the aim to advance cultural competence.

Basic Cultural Competence

The fundamental ability of individuals and organizations to understand and honor the cultural beliefs, languages, interpersonal styles, and behaviors of individuals and groups from different cultural backgrounds.

Cultural Proficiency

The level of knowledge-based skills and understanding of cultural differences and similarities within, among, and between groups required for effective work in a pluralistic environment.

Cross-Cultural Service

The provision of services with an understanding and appreciation of cultural differences, often involving the adaptation of approaches to suit diverse cultural backgrounds.