A toy manufacturer makes its own wind-up motors, which are then put into its toys. Whilethe toy manufacturing process is continuous, the motors are intermittent flow. Data onthe manufacture of the motors appears below.Annual demand (D) = 50,000 unitsDaily subassembly production rate = 1,000Daily subassembly usage rate = 200Setup cost (S) = $85 per batchCarrying cost = $.20 per unit per yearcalculate:i.optimal order quantityi.Number of days are required to produce a batchii.The average inventoryiv.Total annual inventory cost

Let, Annual demand, D = 50000 Units Daily production rate, p = 1000 units Daily usage rate, d =200…

Answered: A toy manufacturer makes its own…

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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A company replaces its SKU’s at a rate of 25 pcs a day. In the past this qty tended to vary normally & have a std dev of 3 units per day. SKU’s are ordered from XYZ Supplier. LT is normally distributed with an average of 10 days & std dev of 2 days. What ROP should be used to achieve a service level of 95%.
A regional manufacturer of table lamps plans on using a manual kanban information system. On average the firm produces 1,200 lamps monthly. Production leadtime is 18 days, and the firm plans to have 15 percent buffer stock. Assume 20 working days per month.b. What is the maximum WIP inventory the company can expect to have usingthis system?
The Northridge Company tends to keep the inventory low. At the same time, it is important to respond to demand quickly, since a customer who wants a product K is very likely to get one from a competitor if Northridge Company doesn’t have one available immediately. Northridge Company’s current policy to produce the product K is to produce 100 per week, which is the average demand. Even this is a problem, as the production manager has pointed out, since the equipment is also used for other products and the lot size of 300 would be much more efficient. He said he is currently set up the production for product K for the next week and states that he has capacity available to produce 300 at a time next week. The following lists the forecasts and actual customer orders for the next 12 weeks. Week 1 2 3 4 5 6 7 8 9 10 11 12 Forecast 90 120 110 80 85 95 100 110 90 90 100 110 Customer Orders 105 97 93 72 98 72 53 21…
Examine the possible cash-flow issues and operational improvement possibilities of at least two KPIs from the middle of the revenue-cycle dashboard of the chosen organization. Charges are captured for services provided. 91%(Color: Yellow)92%(Color: Yellow)85%(Color: Yellow)86%(Color: Yellow)Clinical documentation is completed within 5 days of patient visit/discharge.93%(Color: Green)96%(Color: Green)81%(Color: Yellow)81%(Color: Yellow)Area of the CycleKey Performance Indicator (KPI)Target: 100%January - MarchActualApril - JuneActualJuly - SeptemberActualOctober -DecemberActualMembers of the medical staff are notified within 2 days of any delinquent (greater than 5 days) clinical documentation in patient charts.100%(Color: Green)98%(Color: Green)99%(Color: Green)100%(Color: Green)Coding is completed within 5 days of clinical documentation completion in the medical record.100%(Color: Green)70%(Color: Red)78%(Color: Red)76%(
18 If the standard deviation of demand is six per week, demand is 50 per week, and the desired service level is 95%, approximately what is the statistical safety stock? Select one: a. 16 units b. 64 units c. 10 units d. Cannot be determined without lead time data. e. 8 units
The Ostrya Virginiana furniture company produces wooden chairs. The demand for chairs is 500 units per month. The setup cost for production is $300, and the holding cost is $12 per chair per year. The production rate is 100 chairs per day. Assume 30 working days per month. Determine the following: a) D, S, H, p, u b) EPQ c) Run time
I. The Northridge Company tends to keep the inventory low. At the same time, it is important to respond to demand quickly, since a customer who wants a product K is very likely to get one from a competitor if Northridge Company doesn't have one available immediately. Northridge Company's current policy to produce the product K is to produce 100 per week, which is the average demand. Even this is a problem, as the production manager has pointed out, since the equipment is also used for other products and the lot size of 300 would be much more efficient. He said he is currently set up the production for product K for the next week and states that he has capacity available to produce 300 at a time next week. The following lists the forecasts and actual customer orders for the next 12 weeks. Week Forecast Customer Orders 1 2 3 90 120 110 105 97 93 4 5 6 7 8 80 110 85 95 100 90 72 98 72 53 21 17 9 10 11 90 100 6 2 12 110 5 The president of Northridge Company has said that he wants to…
Increasing the variability of either demand or lead time ________ reorder points. Group of answer choices Decreases Have no effect on Increases
Develop a measure of risk to go along with the ordering policy. This measure should be quantifiable.
Which of the following problems are not among those hidden when inventory levels are excessively high? A) Inadequate worker motivation B) Engineering design redundancies C) Scrap D) Productive equipment downtime E) Paperwork backlogs

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