Ram Roy's firm has developed the following supply, demand, cost, and inventory dataPeriod123RegularTime403540Supply AvailableOvertime Subcontract151515Initial inventoryRegular bime cost per unitOvertime cost per unitSubcontract cost per unitCarrying cost per unit per month520 units$100$150$250$6DemandForecast40605510Assume that the initial inventory has no holding cost in the first period and backorders are not permittedAllocating production capacity to meet demand at a minimum cost using the transportation method, the total cost is $(enter your response as a whole number)

Find the Calculation methods below: Given details: Period 1 Period 2 Period 3 Demand 40 60…

Answered: Ram Roy's firm has developed the…

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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Ram Roy's firm has developed the following supply, demand, cost, and inventory data Period 1 2 3 Regular Time 30 30 40 Supply Available Overtime Subcontract 5 15 15 15 5 5 Demand Forecast 40 20 units $100 $150 $200 $6 45 55 Initial inventory Regular-time cost per unit Overtime cost per unit Subcontract cost per unit Carrying cost per unit per month Assume that the initial inventory has no holding cost in the first period and backorders are not permitted Allocating production capacity to meet demand at a minimum cost using the transportation method, the total cost is $ (enter your response as a whole number)
ARP Engines is a producer of outboard motors and ships worldwide. The company has recently set up a new distribution centre and wants to decide on an inventory policy for one of its products. It has determined the following pertinent information: expected average weekly demand weekly demand standard deviation holding cost production setup cost delivery lead time 400 motors 50 motors $25/motor $5,000/order 3 weeks The company plans to operate 5 days per week, 50 weeks per year. a. Compute the Economic Order Quantity (ignore the variation in demand) given the informa- tion gathered by the company. What is the time between orders and the total cost of operating the EOQ inventory policy? b. The company is considering using the EOQ as the order quantity in a continuous review system. Compute the reorder point and safety stock to meet a service level of 99%. What is the cost of this Q system inventory policy? c. If the company thinks to use the TBO (computed in part a) as the period for a…
gainesvile cigar stocks cuban cigars that have variable lead times because of the difficulty in importing the product: lead time is normally distributed with an average of 6 weeks and a standard deviation of 2 weeks. demand is also a variable and normally distributed with a mean of 200 cigars per week and a standard deviation of 25 cigars. a) for a 90% of service level, what is the rop?
Ram Roy's firm has developed the following supply, demand, cost, and inventory data. Supply Available Period 1 W N 3 Regular Time 30 35 40 Overtime 15 15 20 Initial inventory Regular-time cost per unit Overtime cost per unit Subcontract 10 10 10 Subcontract cost per unit Carrying cost per unit per month 20 units $100 $160 $250 $2 Demand Forecast 40 55 60 Assume that the initial inventory has no holding cost in the first period and backorders are not permitted. Allocating production capacity to meet demand at a minimum cost using the transportation method, the total cost is $ (enter your response as a whole number).
Demand forecasting and planning is not a part of inventory management function. Select one : 1.True 2.Fales
A what is the inventory turnover for the hamburger patties? B. On average, how many days of supply are on hand?
David’s Delightful Kites Company (DDKC) manufactureskites. Th e most popular is David’s Daredevil model. Demandmanagement has prepared forecast estimates for the next sixweeks. Beginning inventory is 15 David’s Daredevils. As themaster scheduler for DDKC, you must prepare an MPS. Your MPSorder quantity is 72 kites. (a) Prepare the MPS using an order quantity of 72 kites.(b) Calculate the ending inventory for each period.(c) What is the maximum number of units held in inventory?(d) How many MPS orders are needed?
Please do not give solution in image format thanku Ram Roy's firm has developed the following supply, demand, cost, and inventory data. Supply Available Period Regular Time Overtime Subcontract Demand Forecast 1 40 15 15 50 2 30 15 15 55 3 40 20 15 60 Initial inventory 30 unitsRegular-time cost per unit$100 Overtime cost per unit$160 Subcontract cost per unit$250 Carrying cost per unit per month$4 Assume that the initial inventory has no holding cost in the first period and backorders are not permitted. Part 2 Allocating production capacity to meet demand at a minimum cost using the transportation method, the total cost is $enter your response here (enter your response as a whole number).
1. Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normal distribution with a mean of 21 gallons per week and a standard deviation of 5 gallons per week. The new manager desires a service level of 90 percent. Lead time is 8 days, and the dairy is open seven days a week. (Hint: Work in terms of weeks.) If the ROP model is used, what is the appropriate  safety stock level  to achieve the desired service level? Round to two decimal places. Answer: _________
Becky Shelton, a teacher at kemp middle school is in charge of ordering the T-shirts to be sold for the school's annual fund-raising project the t-shirts are printed with a special kemp school logo. In some years the supply of T-shirts has been insufficient to satisfy the number of sales orders. In other years, T-shirts have been left over. excess T-shirts are normally donated to some charitable organization. T-shirts cost the school $7 each and are normally sold for $14 each. Ms Shelton has decided to order 790 shirts. Required 1) if the school receives actual sales orders for 715 shirts, what amount of profit will the school earn?what is the cost of waste due to excess inventory? 2) If the school receives actual sales orders for 830 shits, what amount of profit will the school earn? What amount of opportunity cost will the school incur? a) Profit $1,050 waste due to excess inventory b) Profit opportunity cost
1. Padilla Electronics stocks and sells a particular brand of microcomputer. It costs the firm $450 each time it places an order with the manufacturer for the microcomputers. The cost of carrying one microcomputer in inventory for a year is $170. The store manager estimates that total annual demand for the computers will be 1,200 units, with a constant demand rate throughout the year. Orders are received within the minutes after placement from a local warehouse maintained by the manufacturer. The store policy is never to have stock outs of the microcomputers. The store is open for business everyday of the rear except Christmas day. In reference to problem no. 1, determine the minimum total annual inventory cost
Items purchased from a vendor cost $250 each, and the forecast for next year’s demand is 2,000 units. The optimal order size is 100. The firm operates 52 weeks next year and lead time is 3 weeks. It costs $5 every time an order is placed for more units, and the storage cost is $2 per unit per year. What is the number of orders per year? a.35 b.20 c.22 d.25 e.5

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