Answer the Following Question(s)using the Information Below

question 126

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.
-What are the Wood Furniture Company annual relevant total costs at the economic order quantity?

• A)$1,000
• B)$1,500
• C)$3,000
• D)$3,500
• E)$2,050

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Definitions:

Labor Demanded

The total number of workers that employers are willing and able to hire at a given wage rate in a certain period of time.

Labor Supplied

The aggregate amount of hours that employees are prepared and capable of working for a specified rate of pay.

Binding Price Floor

A minimum price set by the government or body above the equilibrium price, leading to excess supply if the market cannot legally adjust to its equilibrium.

Sellers

Market participants involved in providing goods or services for purchase, playing a key role in the supply side of the economy.