Party Animals orders? 10,400 stuffed tigers per? year, at? $10 per? tiger, FOB destination

Accounting Nov 17, 2020

Party Animals orders? 10,400 stuffed tigers per? year, at? $10 per? tiger, FOB destination. Party Animals earns? 12% on its cash investments. The purchase order lead time is 3 weeks. The following data are? available:
Estimated ordering costs per purchase order
?$10
Estimated? insurance, materials? handling, breakage, and so? on, per year
?$3
Actual ordering costs per order
?$15
What is the cost of the prediction? error?