If demand for coconut bars is 5500 per year and ordering and holding

costs are $1.25 and $1.75 respectively, then the economic order
quantity (EOQ) is:

A.
89

B.
85

C.
86

D.
120

A lease is a contract by which an owner of property (the lessor) allows

another person (the lessee) the use of the asset.
Select one:
True

False

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Question text
Which of the following is not an advantage of firms offering EFTPOS?

A.
Firms can be paid faster

B.
Firms can reduce currency inflow and thus reduce security and banking risks
and costs
C.
Non of the options

D.
Firms can increase the need for change and the opportunity costs of keeping it

Intermediated finance uses the services of a financial intermediary or

financial services provider.
Select one:
True

False

Which of the following is not an assumption underlying economic order

quantity (EOQ) theory?

A.
Delivery is lagged

B.
Ordering costs are known

C.
Demand is known

D.
Demand is constant

XYZ Ltd's shares are trading at $14.50 when it decides to make a 2-for-
11 rights issue at an issue price of $10.80. The theoretical price of a
right is:

A.
$2.87
B.
$9.03

C.
$3.13

D.
$2.71

One of the techniques to manage inventory is anticipatory buying.

Which of the following sentences best describe anticipatory buying? 

A.
Always maintaining a minimum safety level of stock

B.
Holding enough stock to minimize holding costs

C.
Buying in stock before an anticipated or known price rise occurs

D.
Buying in stock before an anticipated or known price fall occurs

Which of the following is not generally considered a motive for holding

cash?

A.
Speculative motive

B.
Hedging motive
C.
Precautionary motive

D.
Transactions motive

If demand for buses is 1300 per year and ordering and holding costs
are $3000 and $4000 respectively, assuming a constant rate of demand
this order would last:

A.
12 days

B.
14 days

C.
120 days

D.
44 days

Rompala clauses allow purchasers to take legal ownership of goods

before they are fully paid for.
Select one:
True

False