Jill, the office manager of a desktop publishing outfit, stocks replacement toner cartridges for laser printers. Demand for cartridges is approximated 30 per year and follows Poisson distribution. Cartridges cost $100 each and require 3 weeks to obtain from the vendor. Jill uses a (Q, r) approach to control stock levels. (Hint: you find the values on page 26 of LN 3 helpful in solving this problem) a. If Jill wants to restrict replenishment orders to tice per year on average, what batch size Q should she use? Using this batch size, what reorder point r should she use to ensure a service level (i. e., probability of having the cartridge in stock when needed) of at least 98 percent? b. If Jill is willing to increase the number of replenishment orders per year to six, how do Q and r change? Explain the difference in r. c. If the supplier of toner cartridge offers a quantity discount of $10 per cartridge for orders of 15 or more, how does this affect the relative attractiveness of ordering twice per year versus six

Insurance companies have internal controls in place to protect assets, monitor the accuracy of accounting records and encourage operational efficiencies and adherence to policies. these internal controls are generally of two types: administrative controls and accounting controls. administrative controls are the policies and procedures that guide the daily actions of employees. accounting controls are the policies and procedures that delineate authorizations of financial transactions that are done, safeguard assets, and provide reports on the company’s financial status in a reliable and timely manner. internal controls should include both preventative and detective controls. the purpose of preventative controls is to stop problems and errors before they occur. detective controls identify problems after they have occurred. preventative controls are usually more effective at reducing problems, but they also tend to be more expensive. internal controls must be flexible to adjust for changes in laws and regulations in addition to adding new products or modifying current ones. companies must also do regular analyses to ensure that the benefits of implementing the controls are worth their costs. when concerned about paying unwarranted insurance claims which type of control would be useful?

The master manufacturing company has just announced a tender offer for its own common stock. master is offering to buy up to 100% of the company's stock at $20 per share contingent on at least 64% of the outstanding shares being tendered. after the announcement of the offer, the stock closed on the nyse up 2.50 at $18.75. a customer has 100 shares of master stock in his cash account. the customer tells you that he wishes to "cash out" his position. you should recommend that the customer:

What is one of the advantages of getting a government-sponsored mortgage instead of a conventional mortgage