At May 1, 2022, Nash's Trading Post, LLC had beginning inventory consisting of 220 units with a unit cost of $5. During May, the company purchased inventory as follows:
▪ 440 units at $5
▪ 670 units at $6
The company sold 1110 units during the month for $11 per unit. Nash's Trading Post uses the average cost method.
Nash's Trading Post's gross profit for the month of May is .

M. cotteleer electronics supplies microcomputer circuitry to a company that incorporates microprocessors into refrigerators and other home appliances. one of the components has an annual demand of 235 units, and this is constant throughout the year. carrying cost is estimated to be $1.25 per unit per year, and the ordering (setup) cost is $21 per order. a) to minimize cost, how many units should be ordered each time an order is placed? b) how many orders per year are needed with the optimal policy? c) what is the average inventory if costs are minimized? d) suppose that the ordering cost is not $21, and cotteleer has been ordering 125 units each time an order is placed. for this order policy (of q = 125) to be optimal, determine what the ordering cost would have to be.