Question: The following table contains data about the inventory for five items and its unit cost at Jones C…

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Jun 13, 2022

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Question: The following table contains data about the inventory for five items and its unit cost at Jones C…

by | Jun 13, 2022 | Questions & Answers


The following table contains data about the inventory for five
items and its unit cost at Jones Corporation.

Item # Average
Unit
Inventory
Unit Cost
1 325,000 $ 20.00
2 69,000 $ 56.00
3 110,000 $ 4.00
4 375,000 $ 8.00
5 74,000 $ 2.00

Suppose Jones Corporation determined that its annual inventory
carrying cost = 18 percent. Compute the dollar values for the
information in the above table, determine the annual inventory
carrying cost for each item, and the total annual inventory
carrying cost.

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