10. A company will sell remote control devices online. Expected yearly demand is 3000 units and it issold per 250TL. The controllers can be purchased from supplier A. Ordering cost is 40 TL andannual holding cost is 25% of the price.a. Calculate the economic order quantity for the company.b. Calculate the number of orders per year.c. List the assumptions of EOQ model that you used to calculate the value in part A.

When a quantity discount is offered, the process of determining the optimum order quantity consists…

Answered: 10. A company will sell remote control…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Please show work so I can understand it. Given this information: •Expected demand during lead time = 800 units • Standard deviation of lead time demand = 40 units Assuming that lead time demand is distributed normally. The risk of stockout is 5 percent during lead time (a) What amount of safety stock is appropriate? (b) Calculate ROP
2. The ABC Company consumes inventory of 67,500 units of components per year. The carrying cost per unit is RO 1.50. The fixed order cost is RO 25 per order. The production planning is 365-day year. a. What is the Economic Order Quantity (EOQ)? Interpret. b. Calculate and interpret the optimal number of orders to be placed. c. If it takes five days to receive an order from suppliers, at what inventory level should ABC Company place another order.Interpret.
XXX Company stocks part AA at its warehouse for supplying field service offices. The yearly demand for these parts is 2600 units. XXX Company estimates its annual holding cost for this item to be $ 10 per unit. The cost to place and process an order is $30. The company operates 300 days per year, and the lead time to receive an order is 10 days. The standard deviation of the demand is 15. a. Find the economic order quantity b. Find the total cost c.Determine the ROP needed if the manager wants an annual service level of 99.9 percent. 12 Z- 3.1 15
If D = 8,500per month, S = $46per order, and H = $2.00per unit per month, Part 2 a) What is the economic order quantity? The EOQ is 625 units (round your response to the nearest whole number). Part 3 b) How does your answer change if the holding cost doubles? The EOQ is 442 units (round your response to the nearest whole number). Part 4 c) What if the holding cost drops in half? The EOQ is enter your response here units (round your response to the nearest whole number).
Can someone please help me with the folowing problems on excel with the formulas. Thank you
A company has a demand for 25,750 units annually. The holding cost is 33% of the item cost which is $10.00. The ordering or set-up cost is $250.00 per order and the lead time is 5 days. Assume that there are 350 days per year Suppose a price break of $50 per order is offered for purchase quantities of 2,000 or greater. Question: What is the reorder point for this inventory strategy? What is the inventory position immediately after an order is placed for the inventory strategy that you have selected?
Help with the following questions.
Pls solve this question correctly in 5 min i will give u like for sure Question # 1 Teresa Cohan is attempting to perform an inventory analysis on one of her most popular products. Annual demand for this product is 5,000 units; unit cost $200; carrying cost is considered to be approximately 10% of the unit price. Order costs for her company typically run nearly $30 per order and lead time averages 10 days. Discounted unit cost of Rs. $150 (carrying cost remain the same) for more than 300 units is also being offered. (Assume a 50-week year. a)What is economic order quantity? b)What is the reorder point? c)What is the total carrying + ordering cost? d)What is optimal number of orders per year? e)Would you recommend availing the discount?
As with other products, Fisher-Price faces the decision of how many Weather Teddy units to order for the comingholiday season. Members of the management team suggested order quantities of 15,000, 18,000, 24,000, or28,000 units. The wide range of order quantities suggested indicates considerable disagreement concerning themarket potential. The product management team asks you for an analysis of the stock-out probabilities forvarious order quantities, an estimate of the profit potential, and to help make an order quantity recommendation.Fisher-Price expects to sell Weather Teddy for $24 based on a cost of $16 per unit. If inventory remains afterthe holiday season, Fisher-Price will sell all surplus inventory for $5 per unit. After reviewing the sales historyof similar products, Fisher-Price’s senior sales forecaster predicted an expected demand of 20,000 units with a.95 probability that demand would be between 10,000 units and 30,000 units. Question: One of Fisher-Price’s managers felt…
f2 Same problem statement: Weekly demand for DVD-Rs at a retailer is normally distributed with a mean of 1,000 boxes and a standard deviation of 150. Currently, the store places orders to the supplier, with a reorder point of 4,200 boxes. The order quantity to the supplier is fixed at 5,000 boxes. Replenishment lead time is 4 weeks, fixed order cost per order is $100, each box costs the retailer $10, and the inventory holding cost is 25% per year. Assume 50 weeks in a year. Given the problem parameters, what is the optimal order quantity the retailer should order? Numeric Response f3 2040 f4 f5 40 f6 0 4- f7 ♫+ f11 W f12. X insert prt sc + = O delete ← backspace home num lock
Suppose that we would like to determine Reorder Point for the product. From the historical data the manager determined demand during lead-time for that product fits Normal distribution with a mean of 200 and standard deviation of 10 products. The maximum stock out risk is 10%. Answer the following questions according to the (Q, R) system. a) Find the safety stock if the lead time is 2 weeks. b) Find the reorder point. c) Find the reorder point if the stock out risk decreases to 1%. Comment on the result.
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