Determine the Equivalent Single Rate of Discount for the Following

question 65

Multiple Choice

Determine the equivalent single rate of discount for the following series of discounts: 15%, 12.5%, 8%.

• A) 35.5%
• B) 68.425%
• C) 31.575%
• D) 0.68425%
• E) 0.31575%

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Definitions:

Average Inventory

The mean value of inventory held by a company over a specific period of time, calculated to assess inventory levels and management efficacy.

Carrying Cost

Expenses associated with holding inventory, including storage, insurance, and depreciation.

EOQ

Economic Order Quantity, a formula used to determine the optimal quantity of stock to order that minimizes total inventory costs.

One-Shot Approach

The one-shot approach is a method that attempts to resolve or achieve a particular goal in a single, concentrated effort.