Raymond Bro. has been buying a given item in lots of 900 units, which is three months’ supply. The cost per unit is $12 and the order cost is $16 per order and the carrying cost is 25%.   Required: How much Raymond Bro. can save per year by buying in most economical quantities?

Q: A jewelry firm buys semiprecious stones to make bracelets and rings.  The supplier quotes a price of…

A: Given, Quantity ( stones ) Price <400 $9.4 400 to 599 $8.9 >= 600 $8.5 Operating…

Q: Discuss the relationship between Economic Order Quantity and Just-In-Time inventory system. Which…

A: 1. Economic Order Quantity (EOQ):The optimal order quantity (EOQ), which is a traditional inventory…

Q: You have the following information: - Ordering cost: $300/order - Carrying cost (Carrying cost):…

A: Inventory management is described as a process through which items are sourced, stored, and then…

Q: The best-selling pair of shoes Footstep sells for P499.99 a pair. The store consistently selis 7000…

A: Introduction: The term Business refers to an exchange of goods and services between the buyer and…

Q: Matthew​ Liotine's Dream Store sells water beds and assorted supplies. His​ best-selling bed has an…

A: EOQ FormulaWhere:D is the annual demand for the product.S is the ordering cost per order.H is the…

Q: Le Pearl sells 4500 readymade dresses for the children. The cost to place an order of readymade…

A: The above problem is related to the EOQ model of inventory management. The EOQ model is used to…

Q: Explain the purchase decision and the inventory model for a single cycle?

A: Businesses that use seasonal or one-time substances may benefit from a single cycle inventory model.

Q: The shop sells 5,000 hats. If holding cost is 3$ and cost to place an order is 4. What will be…

A: The formula of calculating the Economic Order Quantity is

Q: a) What is the EOQ for these colourful silk headscarves? b) What is the Average Inventory in RM…

A: Inventory management is an important concept for organizations dealing with products. EOQ is one of…

Q: EOQ is 1,500 units based on annual demand of 15,000 units. The ordering cost os P 25 and carrying…

A: Given the data stated below,    The annual demand=15000 units The ordering cost applicable for each…

Q: Average demand = μ = 350 Standard deviation of demand during lead time = OLT = 10 kits 5% stockout…

A: Reorder point is the minimum level of inventory established by an organization that is also a signal…

Q: What is the investment in average inventory? (b) What is the annual ordering cost?

A: The answer is as below:

Q: What is Consignment Inventory? Advantages and disadvantages of Consignment Inventory for Vendors?

A: Inventory management aids businesses in determining which goods to order and when to order them. It…

Q: Cafe Celo uses 250 kg of sirloin steak for its meals, every month with an ordering cost of BD 15 and…

A: Optimal ordering method indicating EOQ model which helps to determine the lowest cost for annual…

Q: Lead time for some SKU is always 10 days, and demand for that SKU is always 50 per day. What isthe…

A: Reorder point is the sum of demand during lead and safety stock.

Q: Each year PBB sells 285 units of a product at a price of P600 each. The variable cost per unit is…

A:

Q: Myer stores carries a specialty line of flavored syrups. One of the most popular of these is a…

A: given, Given Weekly demand d = 55 bottles Price = $9

Q: Explain the link between the yearly ordering cost and the amount of the order. Why is it…

A: Inventory refers to the items, goods, materials, and merchandise that a business may hold with the…

Q: Explain the differences between inventory carrying costs and ordering costs.

A: Here are the differences in ordering costs and inventory carrying costs:

Q: What are the different types of inventory carrying costs? Are these expenses constant or variable,…

A: Inventory are the material i.e Raw material work in progress finished goods

Q: Chris Sandvig Irrigation, Inc., has summarized the price list from four potential suppliers of an…

A: EOQ = 120 units (rounded to nearest integer since decimal value cant be procured)

Q: The firm manufactures photocopying machines and the production plant requires 3317Yollers every…

A: Note - Hi! Thank you for the question, As per the honour code, we are allowed to answer three…

Q: Maxmin Trading Company buys 1,000 pcs of chair per  month. The cost per chair is Php500 and…

A:

Q: You have an annual demand of 800 units of your product which you sell for $90 a unit. It costs you…

A: EOQ = √ [ 2*D*O / C ]   Annual Demand D = 800 Order Cost O = 20 Carrying Cost C = 90*0.14 =  12.6

Q: Use ABC analysis to determine the items deserving mostattention and tightest inventory control

A: ABC analysis is a tool for classifying products based on their stock requirements. It's difficult to…

Q: Determine which delivery alternative would be most economical for 50 boxes of parts. Each box costs…

A: given, most economical = 50 boxes  each box costs = $434 holding cost = 20% assumption = 365

Q: Determine which delivery alternative would be most economical for 70 boxes of parts. Each box costs…

A: The above problem is related to shipment-related issues. The detailed solution is given below;

Q: snip

A: If a reorder point is increased, its service level also increased.

Q: The New Haven Foundation gave a grant to the Affordable Computers Co.(ACC) to manufacture low cost…

A: Economic order quantity is the order quantity that helps the company to reduce the holding and…

Q: 4. A mail-order house uses 18,000 boxes a year. Carrying costs are $.60 per box per year and…

A:

Q: Which inventory methods are mostly used in groceries stores and why? What are the benefits ?

A: A good food store's management of its inventory is essential. The effectiveness, profitability, and…

Q: Please do not give solution in image format thanku 3. SunValley Supermarket is open 360 days per…

A: Economic order quantity is the order quantity of goods that helps the organization reduce the cost…

Q: Based on available information, lead time demand for PC jump drives averages 50 units (normally…

A: Inventory management is the aspect of production management of an organization including storing,…

Q: If carrying costs are $2 per year for each stone, find the order quantity that will minimize total…

A: Here, given that the usage rate is 25 stones per day,  The annual demand =usage rate×200 The annual…