Case Study:ABC manufactures Jam. The company produces 5 types of jams(strawberry, grape, peach, blueberry and apple). Below is datafor years 2016 and 2017Year 2016Type of Jam Set up ororder costStrawberry 63.70GrapePeach63.7063.70Blueberry 63.70Apple 63.70Year 2017Type of Jam Set up ororder costStrawberry 63.70Grape 63.70Peach63.70Blueberry 63.70Apple 63.70Tasks:Demand Holding orCarrying Cost9%92993233514929886 9625 9Demand Holding orCarryingCost9%34602220 91500 9900 9600 9Lead time Safety Stock20015012010050571075Lead time Safety Stock571075200150120100501. Read the case study.2. Perform an analysis of work and operations (EOQ andROP) associated with activities in a modern enterprise byCreating an Excel Spreadsheet:a. Create tables with headings. Create a cell for theanswer. Hint: you can copy the tables and then addcells for the answers.

As per the given data, it is clear that only the demand variates from year 2016 to 2017.

Answered: ABC manufactures Jam. The company…

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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7. Sam's Cat Hotel operates 52 weeks per year, 5 days per week, and uses a continuous review inventory system. It purchases kitty litter for $11.00 per bag. The following information is available about these bags. Refer to the standard normal table for z-values. ≻Demand = 95 bags/week ≻Order cost = $57/order ≻Annual holding cost = 30 percent of cost ≻Desired cycle-service level=98 percent ≻Lead time = 1 week(s) (5 working days) ≻Standard deviation of weekly demand = 20 bags ≻Current on-hand inventory is 350 bags, with no open orders or backorders. d. The store currently uses a lot size of 490 bags (i.e., Q=490). What is the annual holding cost of this policy? (Enter your response rounded to two decimal places.) and (Enter your response rounded to two decimal places.) **select the correct multiple choice answer** e. What would be the annual cost saved by shifting from the 490-bag lot size to the EOQ? (Enter your responses rounded to two decimal places.)
Use ABC analysis to determine the items deserving mostattention and tightest inventory control
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
A store sells university coffee mugs. Daily demand is 25 mugs with a standard deviation of 4 mugs per day. Each mug costs $7.85. Ordering costs are $11. The carrying costs are $2 per year. The store is open 250 days per year. Lead time is 6 days with a standard deviation of 1.6 days. Desired service level is 98%. Calculate the EOQ (round your answer to the nearest whole number) 2. CAREFUL! YOUR NUMBERS HAVE CHANGED A store sells university logo hats. Daily demand is 22 hats with a standard deviation of 4 hats per day. Each hat costs $7.85. Ordering costs are $12. The carrying costs are $1 per year. The store is open 250 days per year. Lead time is 4 days with a standard deviation of 1.6 days. Desired service level is 98%. Calculate the ROP with safety stock.
Discuss how inventory expenses must be balanced and kept to q minimum through inventory control
David's Delicatessen flies in Hebrew National salamis regularly to satisfy a growing demand for the salamis in Silicon Valley. The owner, David Gold, estimates that the demand for the salamis is pretty steady at 175 per month. The salamis cost Gold $1.85 each. The fixed cost of calling his brother in New York and having the salamis flown in is $200. It takes three weeks to receive an order. Gold's accountant, Irving Wu, recommendsan annual cost of capital of 22 percent, a cost of shelf space of 3 percent of the value of the item, and a cost of 2 percent of the value for taxes and insurance. How many salamis should Gold have on hand when he phones his brother to send another shipment?
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K Cesar Rego Computers, a Mississippi chain of computer hardware and software retail outlets, supplies both educational and commercial customers with memory and storage devices. It currently faces the following ordering decision relating to purchases of disks: D S I Purchase price Discount price Quantity needed to qualify for the discount = 5,900 disks. What is the EOQ? 36,100 disks $25 22% $0.87 $0.81 EOQ = units (round your response to the nearest whole number). ncorrect

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ABC manufactures Jam. The company produces 5 types of jams (strawberry, grape, peach, blueberry and apple). Below is data for years 2016 and 2017 Year 2016 Type of Jam Set up or order cost Strawberry 63.70 Demand Holding or Carrying Cost 2993 9% Lead time Safety Stock 5 200