You have decided to buy a used car. the dealer has offered you two options: (fv of $1, pv of $1, fva of $1, and pva of $1) (use the appropriate factor(s) from the tables provided.)
a. pay $500 per month for 20 months and an additional $10,000 at the end of 20 months. the dealer is charging 24 percent per annum.
b. when you buy the car, pay cash equal to the present value of the payments in option (a).
determine how much cash the dealer would charge in option (b).

Jimmy's delicatessen sells large tins of tom tucker's toffee. the deli uses a periodic review system, checking inventory levels every 88 days, at which time an order is placed for more tins. order lead time is 22 days. daily demand is a constant 1515 tins, so average demand during the reorder period and order lead time (1010 days) is 150150 tins. draw a sawtooth diagram. assume that the beginning inventory level is equal to the restocking level and the desired service level is 99.9%. what is the safety stock level? (hint: look at the formula for calculating restocking level.) what is the average inventory level? the safety stock level is average inventory level is __chart: time (10,20,30), tins (0,150) lines touching both axisthe safety stock level is 0 tinsthe average inventory level is 75 tins