Massa Machine Tool Expects Total Sales of $60,000

question 96

Multiple Choice

Massa Machine Tool expects total sales of $60,000. The price per unit is $10. The firm estimates an ordering cost of $25 per order, with an inventory cost of $0.70 per unit. What is the optimum order size?

• A) 327 units
• B) 655 units
• C) 447 units
• D) 207 units

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Definitions:

Intrinsic Motivation

The drive to perform an activity for its inherent satisfaction rather than for some separable consequence.

Intrinsic Motivation

The drive to engage in an activity for its own sake, rather than for an external reward or outcome.

Extrinsic Motivation

Motivation that is driven by external rewards such as money, fame, grades, and praise.

Subject Interesting

A subjective assessment indicating how much an individual is intrigued, engaged, or finds a specific topic or activity appealing.