Answer the Following Questions Using the Information Below:
the Katoomba

question 48

Multiple Choice

Answer the following questions using the information below:
The Katoomba Furniture company produces a specialty dining table,and has the following information available concerning its inventory items:
$\begin{array}{ll}\text { Relevant ordering costs per purchase order } & \$ 250 \\\text { Relevant carrying costs per year: } & \\\text { Required annual return on investment } & 10 \% \\\text { Required other costs per year } & \$ 14.00\end{array}$
Annual demand is 1000 tables per year.The purchase price per table is $1600.
-What are the total relevant costs,assuming the quantity ordered equals 50 units?

• A)$4000
• B)$3500
• C)$5000
• D)$9350

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Definitions:

Follow-up

The act of making additional contact or taking further action after an initial interaction or event.

Personal Selling Process

A sequence of steps a salesperson follows to engage a potential customer, demonstrating how their product or service can meet the customer's needs, ultimately leading to a sale.

Prospecting

The process of searching for potential customers, clients, or buyers in order to develop new business.

Closing

The final step in executing a real estate transaction or sale where ownership is transferred from seller to buyer, or in sales, the process of concluding a sale or sealing a deal.