Homework Help is Here – Start Your Trial Now!
Business
Operations Management
How many pounds should be ordered at the order point? How many 10-pound b. The order is placed when there are 390 pounds available. How many purchase units c. What is the usage rate in the four-day order period? d. How many 10-pound poly bags are used daily and during the order period? e. How many purchase units are included in the lead time and safety level factors? f. What is the maximum number of pounds to be available? g. How many purchase units should be purchased at the order point? a.

How many pounds should be ordered at the order point? How many 10-pound b. The order is placed when there are 390 pounds available. How many purchase units c. What is the usage rate in the four-day order period? d. How many 10-pound poly bags are used daily and during the order period? e. How many purchase units are included in the lead time and safety level factors? f. What is the maximum number of pounds to be available? g. How many purchase units should be purchased at the order point? a.

Practical Management Science
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...
See similar textbooks
icon
Related questions
Question
Do problem 2 d through f
## Problems ### Problem 1 Complete the following perishable product quotation/call sheet. Indicate the preferred supplier: a. If each item is purchased from the supplier quoting the lowest price for that item. b. If all items are purchased from the supplier submitting the lowest total price quotation (suppliers A and B will provide a three-percent discount if all products are purchased from them). Explain any special concerns you may have about the price quotations. | Item | Needed | On Hand | Order | Supplier 1 | Supplier 2 | Supplier 3 | |----------|---------|---------|--------|------------|------------|------------| | Lettuce | 12 cases | 4½ cases| $19.90 cs | $21.10 cs | $18.90 cs | | Spinach | 6 cases | 1½ cases| $23.40 cs | $20.10 cs | $24.10 cs | | Cabbage | 4 cases | 1 case | $12.90 cs | $ 9.80 cs | $11.15 cs | | Escarole | 7 cases | 3 cases | $27.50 cs | $21.00 cs | $29.50 cs | | **Total**| | | ### Problem 2 Use the information below to answer the following questions: - **Purchase unit** = 10-lb poly bag (ground beef) - **Usage rate** = 170 lb per day - **Order period** = 4 days **Note:** "cs" stands for case.
Transcribed Image Text:## Problems ### Problem 1 Complete the following perishable product quotation/call sheet. Indicate the preferred supplier: a. If each item is purchased from the supplier quoting the lowest price for that item. b. If all items are purchased from the supplier submitting the lowest total price quotation (suppliers A and B will provide a three-percent discount if all products are purchased from them). Explain any special concerns you may have about the price quotations. | Item | Needed | On Hand | Order | Supplier 1 | Supplier 2 | Supplier 3 | |----------|---------|---------|--------|------------|------------|------------| | Lettuce | 12 cases | 4½ cases| $19.90 cs | $21.10 cs | $18.90 cs | | Spinach | 6 cases | 1½ cases| $23.40 cs | $20.10 cs | $24.10 cs | | Cabbage | 4 cases | 1 case | $12.90 cs | $ 9.80 cs | $11.15 cs | | Escarole | 7 cases | 3 cases | $27.50 cs | $21.00 cs | $29.50 cs | | **Total**| | | ### Problem 2 Use the information below to answer the following questions: - **Purchase unit** = 10-lb poly bag (ground beef) - **Usage rate** = 170 lb per day - **Order period** = 4 days **Note:** "cs" stands for case.
**Educational Content Transcription** ### Purchasing and Receiving Controls #### Key Variables: - **Lead time:** 1 day - **Safety level:** 1 day **Questions:** a. How many pounds should be ordered at the order point? How many 10-pound poly bags should be purchased? b. The order is placed when there are 390 pounds available. How many purchase units should be ordered? c. What is the usage rate in the four-day order period? d. How many 10-pound poly bags are used daily and during the order period? e. How many purchase units are included in the lead time and safety level factors? f. What is the maximum number of pounds to be available? g. How many purchase units should be purchased at the order point? --- ### Problem 3 The following information is provided on a delivery invoice. Use this information to answer the following questions: | Item | Ordered | Pack | Weight (lb) | Unit Price | Amount | |--------------|-----------|--------|-------------|------------|---------| | Ground Beef | 25 | 10 lb | 250 lb | $2.30 | | | Green Beans | 12 | 6 #10 cs | | $28.10 | | | Tomato Sauce | 6 | 6 #10 cs | | $26.75 | | | Shrimp | 6 | 10 5-lb cs | 300 lb | $8.45 | | **Questions:** a. What is the total amount due? b. The sharp-eyed employee who received the order noticed the following: - Only 23 10-pound bags of ground beef were received. - One case of green beans appeared damaged (the corner of the case was crushed; the cardboard case looked like it had been wet and then had dried). - There were 7 cases of tomato sauce. - There were only 5 cases (10 5-lb) of shrimp. What is the amount that should be entered on the request-for-credit memo? What is the adjusted amount of the delivery invoice? c. The supplier will give a 10-percent discount if the invoice is paid within 10 days. What is the total amount of the invoice to be paid, assuming that this discount is taken?
Transcribed Image Text:**Educational Content Transcription** ### Purchasing and Receiving Controls #### Key Variables: - **Lead time:** 1 day - **Safety level:** 1 day **Questions:** a. How many pounds should be ordered at the order point? How many 10-pound poly bags should be purchased? b. The order is placed when there are 390 pounds available. How many purchase units should be ordered? c. What is the usage rate in the four-day order period? d. How many 10-pound poly bags are used daily and during the order period? e. How many purchase units are included in the lead time and safety level factors? f. What is the maximum number of pounds to be available? g. How many purchase units should be purchased at the order point? --- ### Problem 3 The following information is provided on a delivery invoice. Use this information to answer the following questions: | Item | Ordered | Pack | Weight (lb) | Unit Price | Amount | |--------------|-----------|--------|-------------|------------|---------| | Ground Beef | 25 | 10 lb | 250 lb | $2.30 | | | Green Beans | 12 | 6 #10 cs | | $28.10 | | | Tomato Sauce | 6 | 6 #10 cs | | $26.75 | | | Shrimp | 6 | 10 5-lb cs | 300 lb | $8.45 | | **Questions:** a. What is the total amount due? b. The sharp-eyed employee who received the order noticed the following: - Only 23 10-pound bags of ground beef were received. - One case of green beans appeared damaged (the corner of the case was crushed; the cardboard case looked like it had been wet and then had dried). - There were 7 cases of tomato sauce. - There were only 5 cases (10 5-lb) of shrimp. What is the amount that should be entered on the request-for-credit memo? What is the adjusted amount of the delivery invoice? c. The supplier will give a 10-percent discount if the invoice is paid within 10 days. What is the total amount of the invoice to be paid, assuming that this discount is taken?
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Practical Management Science
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Operations Management
Operations Management
Operations Management
ISBN:
9781259667473
Author:
William J Stevenson
Publisher:
McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi…
Operations and Supply Chain Management (Mcgraw-hi…
Operations Management
ISBN:
9781259666100
Author:
F. Robert Jacobs, Richard B Chase
Publisher:
McGraw-Hill Education
Business in Action
Business in Action
Operations Management
ISBN:
9780135198100
Author:
BOVEE
Publisher:
PEARSON CO
Purchasing and Supply Chain Management
Purchasing and Supply Chain Management
Operations Management
ISBN:
9781285869681
Author:
Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:
Cengage Learning
Production and Operations Analysis, Seventh Editi…
Production and Operations Analysis, Seventh Editi…
Operations Management
ISBN:
9781478623069
Author:
Steven Nahmias, Tava Lennon Olsen
Publisher:
Waveland Press, Inc.
SEE MORE TEXTBOOKS