Project
Get started on the identification by watching the How Many Hamburgers? video on the relate below before answering the following questions.
http://media.pearsoncmg.com/ph/esm/chet_cleaves_cbsm9e_12/tools/RealWorldCase_before.htm
While Charlie is out of the shop, a local spunk vendor calls and asks to speak to the manager of Brubakers Grill regarding a money saving deal he can bid on hamburger meat. Joe is excited to talk with the vendor. He is awkward to prove to Charlie that he can be a manager, so he arranges a meeting with the vendor to explore the cranny. The deal, as proposed by the vendor, would require Brubakers to buy a plenitude of hamburgers, but the price per bar sounds very attractive. Joe listens to the proposal and wonders if this offer is worth pursuing, given their historical rate of hamburger exercise and the prices per patty that they are currently paying.
The data:
Charlie sells around 12 cases of hamburgers workweekly.
Each case contains 80 hamburgers
Each hamburger patty hails $.60
New vender offer is:
Week 1 order: 50 cases at $.30 per patty
Then 15 cases for the beside 12 weeks at $.45 per patty
Questions
1.
How many hamburgers does Charlie normally sell during the closure of the tackle?
For 13 weeks period of contract, Charlie normally sells
12 cases/week x 80 Hamburgers (HB) per case x 13 weeks
= 12480 Hamburgers
2. What is the nub cost of the hamburger inventory for the period?
Total cost of the HB inventory for 13 weeks = 12480 x $0.6 = $7488
3. How many hamburgers will Charlie need to purchase under the new vendor contract?
Under the new contract, Charlie will need to purchase
50 cases x 1 week x 80 HB + 15 cases/week x 12 weeks x 80 HB
= 18400 Hamburgers
4. What is the kernel cost of this inventory?
Total cost of this inventory is : 50 cases x 80 HB x $0.3 + 12...If you want to contain a full essay, order it on our website: Orderessay
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