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Consider a single source procurement purchase (R becomes infinite) application with the following parameters: demand = 379 units per period, lead time = 13 periods, per unit cost = 15.7, procurement cost = 3.97 per procurement, holding cost = 0.16 per period, shortage cost = 0.41 per period, allowable space = 1,091 cubes, space per unit = 9.87 cubes per unit. Assume the warehouse restriction is active and find the optimum procurement quantity.

Consider a single source procurement purchase (R becomes infinite) application with the following parameters: demand = 379 units per period, lead time = 13 periods, per unit cost = 15.7, procurement cost = 3.97 per procurement, holding cost = 0.16 per period, shortage cost = 0.41 per period, allowable space = 1,091 cubes, space per unit = 9.87 cubes per unit. Assume the warehouse restriction is active and find the optimum procurement quantity.

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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Consider a single source procurement purchase (R becomes infinite) application with the following parameters: demand = 379 units per period, lead time = 13 periods, per unit cost = 15.7, procurement cost = 3.97 per procurement, holding cost = 0.16 per period, shortage cost = 0.41 per period, allowable space = 1,091 cubes, space per unit = 9.87 cubes per unit. Assume the warehouse restriction is active and find the optimum procurement quantity.
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