The Manager of the Quick Stop Corner Convenience Store (Which

question 5

Multiple Choice

The manager of the Quick Stop Corner Convenience Store (which never closes) sells four cases of Stein beer each day. Order costs are $8.00 per order, and Stein beer costs $.80 per six-pack (each case of Stein beer contains four six-packs) . Orders arrive three days from the time they are placed. Daily holding costs are equal to 5 percent of the cost of the beer.
At what point should he reorder Stein beer?

• A) 0 cases remaining
• B) 4 cases remaining
• C) 12 cases remaining
• D) 16 cases remaining
• E) 20 cases remaining

---

Definitions:

Broker's Fee

A fee charged by a broker for executing transactions or providing specialized services.

Lease Protection

A plan or policy that covers potential damage or excessive wear and tear on a leased vehicle beyond what is considered normal.

Amortization Table

A complete schedule of periodic blended loan payments, showing the amount of principal and the amount of interest that comprise each payment so that the loan will be paid off at the end of its term.

Unpaid Principal

The portion of a loan amount that remains to be paid off by the borrower, excluding any interest or other charges.