Answer the Following Question(s) Using the Information Below

question 16

Multiple Choice

Answer the following question(s) using the information below:
The Wood Furniture company produces a specialty wood furniture product, and has the following information available concerning its inventory items:
Annual demand is 10,000 packages per year. The purchase price per package is $16.
-Sandrington Ltd. operates a retail bicycle shop. Wheel covers are popular with customers. Sandrington purchases these covers for $48 (per pair) and expects to sell 5,000 pairs per year. Ordering costs are estimated at $180 per order and relevant insurance handling etc. costs are estimated at $0.30 per month. The company has established a 14% annual return on investment. The EOQ quantity for Sandrington is:

• A) 418 units
• B) 506 units
• C) 2,449 units
• D) 707 units
• E) 24 units

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Definitions:

Psychoanalytic Explanation

An approach that explains human behavior and psychological problems through unconscious motives and conflicts.

Superego

In Freud’s structural model, the part of personality that represents society’s values.

Hypnosis

A trance-like state of altered consciousness, usually induced to access deeper levels of the mind, for therapeutic purposes.

Psychological Defense Mechanisms

Strategies used unconsciously by individuals to protect themselves from anxiety and to manage reality and internal conflict.