What Is the Total Carrying Cost for an Inventory of 200

question 79

Multiple Choice

What is the total carrying cost for an inventory of 200 widgets if the per-widget carrying cost is $4, the cost per order is $14, and there are 5 orders per year?

• A)$400
• B)$470
• C)$800
• D)$870 Total carrying costs = carrying cost per widget x average widget inventory
• = $4 x 200/2

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Definitions:

Actor-observer Effect

The tendency to attribute one's own actions to external causes while attributing other people's behaviors to their internal characteristics.

External

Outside of or existing beyond the self or the entity it refers to, often used in contrast with internal.

Internal

Relating to or situated on the inside; intrinsic or inner attributes.

Likert Scale

A psychometric scale commonly involved in research that employs questionnaires. It is used for assessing attitudes by asking respondents to rate their level of agreement with a statement using a choice scale.