Urgent Excel Exercise HELP!!!

[GStonna]

Hi everyone
i have these 2 exercise that I really dont understand.
Could somebody help me please its urgent ! i need to submit it by tonight 00h.

Thank you very much !!!




B.
CompanyC sells 5,000 pieces of ProductP per month and is trying to determine how many ProductP to keep in inventory. You have determined that it costs 200€ to place and settle an order. The cost of holding inventory is 4 €cents per month per ProductP in inventory. A 5-day lead time is required for delivery of the ordered ProductP.
a. Develop the algebraic expression for determining the total cost of holding and ordering inventory.
b. Plot the total holding costs and the total ordering costs on a graph where the horizontal axis represents size of order and the vertical axis represents costs.
c. Determine the EOQ from the graph and by calculation.
d. Bonus question: calculate the optimum using Excel’s “solver”1 function.


C.
CompanyC has a 1 million € revolving credit agreement with BankB. Being a fa-vored customer, the rate is set at 1 % over the bank's cost of funds.
The Bank’s cost of funds is expected to be 4 % for the coming year.
In addition, there is a 0.5% commitment fee on the unused portion of the revolving credit.
a. If CompanyC expects to utilize, on average, 60% of the total commitment, what is the expected annual euro cost of the credit arrangement?
b. What is the equivalent percentage cost when both the interest rate and the commitment fee are considered?
c. What is the equivalent percentage cost if, on average, only 20% of the total commitment is utilized?
d. If another bank is offering a loan for a fixed interest rate of 6% without any commitment fee, when is this offer favorable?

 

[mumps]

I'm not sure that I would be able to help, but even so, Forum members are very reluctant to do someone's homework for them. They could guide you and offer suggestions but it seems that since your assignment is due tonight, there wouldn't be enough time.

 

[GStonna]

just guide me would be perfect

 

[MARK858]

Being honest looking at the range of questions you are asking to get answers for it really doesn't seem you have taken anything in from your course so I would think it is inappropriate for anyone to give you solutions.

 

[joeu2004]

Since part of exercise #B is for you to "develop the algebraic expression", I don't see how we can offer guidance without doing the homework assignment for you.

As for exercise #C , the math seems "obvious". The interest rate "1% over ... 4% for the coming year". And if the company expects to utilize 60% of the "commitment" (credit line), the unused portion is 40% of 1 million euro; and the commitment fee is 0.5% of that. That said, I would have to make a lot of assumptions about when the funds are utilized in order to answer some of the parts.

OTOH, this is an Excel forum, not a business math forum. So if you know the business math and you simply need help with using Excel for the calculations, you should provide us with how you would answer the questions with paper and pencil, to the extent possible.

 

[Michael M]

So what have you been doing up to this point, to make it urgent now ???

 

[Lukma]

Well Its just working issue and i newly found Mr Excel Forum relating to excel issue which i have lately been following is class on youtube
However i appreciate all is lesson and it help me improve on my skill and work load

Thats why am asking for more help on areas i feel bothers me

 

[Michael M]

Asking for help is fine....BUT...this Forum isn't here to provide homework assignment results. If @Lukma or @GStonna can provide ALL the workings that they have done / attempted so far, we could provide SOME assistance.