No SpacingHeading 1ParagraphStylesEdItem SKU A3378 has a demand that is normally distributed during the lead time, with amean of 360 units and standard deviation 9999 of 12. If Hinsdale cannot have stockoutin more than 10% of the time in any order, how much safety stock should be maintainecand at what reorder point?Calculate Hinsdale's safety stock and reorder point for three other SKUS under thefollowing conditions of demand and lead time:A) SKU F5402: daily demand is normally distributed with a mean of 16, standarddeviation of 4, lead time is 4days, and must operate at a 95% service levelCalculate Hinsdale's safety stock and reorder point for three other SKUS under thefollowing conditions of demand and lead time:1. SKU F5402: daily demand is normally distributed with a mean of 16, standarddeviation of 4, lead time is 4days, and must operate at a 95% service level.hs: On 2. SKU B7319: daily demand is constant at 24 units per day, lead time is normally witha mean of 6 days andstandard deviation of 2 days and must operate at a 95% service level.3. SKU F9004: daily demand is normally distributed with a mean of 21 units and astandard deviation of 3 days.The lead time is also normally distributed with a mean of 4 days, standard deviation of 2days and a servicelevel of 90% is required.S: Onacer

SKU A3378 Mean = 360 Standard deviation = 12 Probability of stocking out =100-10%=90% z=1.29…

Answered: tem SKU A3378 has a demand that is…

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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b) The Elite Cafe serves purified bottles of "Wata" to its customers. The daily demand for Wata is normally distributed, with an average demand of 18 bottles and a standard deviation of 4 bottles. The lead time to receive an order of Wata from the local supplier is 3 days. Determine the safety stock and reorder point if the Cafe wants to maintain: i) 90% service level ii) 95% service level
1. Michael Traci, the new inventory manager at Magyar Golf Supplies, is considering using the economic order quantity for controlling inventory. He wants you to apply the EOQ to a sample product, the Super-Z Wedge. The Super-Z Wedge has an average demand of 30 units/period with an ordering cost of $30/order. The cost of carrying a Super-Z Wedge in inventory is $2.00/unit/ period. No safety stock is carried for this item. a. Calculate the economic order quantity. b. Calculate the average cycle stock for this item using the order quantity in question a. c. Assuming there are 12 periods per year, calculate total cost per year.
The Universal Computer Company uses a newly developed A1 chip in the manufacturer of their tablet computers. The estimated annual demand for this chip is 12,000 units. It is estimated that the cost to place an order is $75, and the holding cost for each chip is $20 per year. The company operates 320 days per year. a. What is the economic order quantity for the A1 chip? b. What is the total cost if the Universal Computer Company orders using the EOQ quantity?
An Electronics parts manufacturer purchases circuit board for manufacturing electronic circuit board at the rate of OMR 20 per piece from a vendor. The requirements of these parts are 1000 per quarterly and the cost per placement of an order is OMR 40 and inventory carrying charges 10 percent yearly. Calculate the following The EOQ No. of orders in a year, and Time between two successive orders Average yearly cost of Inventory Total inventory cost Total Cost
Subject: calculus
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Current decision to buy: Ross White's machine shop uses 300 brackets each month during the course of a year. This usage is relatively constant throughout the year. Currently, these brackets are purchased from a supplier 100 miles away for $25 each and the lead time is 2 days. The holding cost per bracket per year is $3.75 (15% of the unit cost) and the annual ordering cost per order is $18.50. There are 240 working days per year. Possible future decision to make in-house: Ross White is reconsidering his decision of buying the brackets and is considering making the brackets in-house. He has determined the set up costs would be $22.50 in machinist time and lost production time. Forty eight brackets could be produced in a day once the machine has been set up. Ross estimates that the cost (including labor and materials) of producing one bracket would be $22.85. The holding cost would be 12% of the cost. What is the EOQ given Ross' current decision to buy the brackets? What is the…
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
K Chicago's Hard Rock Hotel distributes a mean of 1,100 bath towels per day to guests at the pool and in their rooms This demand is normally distributed with a standard deviation of 95 towels per day based on occupancy The laundry firm that has the linen contract requires a 3-day lead time. The hotel expects a 99% service level to satisfy high guest expectations. Refer to the standard normal table for z-values. a) What is the reorder point? 3683 towels (round your response to the nearest whole number) towels (round your response to the nearest whole number). b) What is the safety stock?
If sigma is 150 units, and the demand during lead time is 240 units, calculate the safety stock and order point for: 50% service level 94% service level
Southeastern Bell stocks a certain switch connector at its central warehouse for supplying field service offices. The yearly demand for these connectors is 15,900 units. Southeastern estimates its annual holding cost for this item to be $25 per unit. The cost to place and process an order from the supplier is $78. The company operates 300 days per year, and the lead time to receive an order from the supplier is 2 working days. a) What is the economic order quantity? units (round your response to the nearest whole number).
XXX Company stocks part AA at its warehouse for supplying field service offices. The yearly demand for these parts is 2600 units. XXX Company estimates its annual holding cost for this item to be $ 10 per unit. The cost to place and process an order is $30. The company operates 300 days per year, and the lead time to receive an order is 10 days. The standard deviation of the demand is 15. a. Find the economic order quantity b. Find the total cost c.Determine the ROP needed if the manager wants an annual service level of 99.9 percent. 12 Z- 3.1 15

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