Victor Pimentel uses 1,500 units per year of a certain subassemblythat has an annual holding cost of$45 per unit. Each orderplaced costs Victor $ 150. He operates 300 days per year and hasfound that an order must be placed with his supplier 6 working daysbefore he can expect to receive that order. For this subassembly, find:a) Economic order qua ntity.b) Annual holding cost.c) Annual ordering cost.d) Reorder point.
Victor Pimentel uses 1,500 units per year of a certain subassemblythat has an annual holding cost of$45 per unit. Each orderplaced costs Victor $ 150. He operates 300 days per year and hasfound that an order must be placed with his supplier 6 working daysbefore he can expect to receive that order. For this subassembly, find:a) Economic order qua ntity.b) Annual holding cost.c) Annual ordering cost.d) Reorder point.
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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| Victor Pimentel uses 1,500 units per year of a certain subassembly that has an annual holding cost of$45 per unit. Each order placed costs Victor $ 150. He operates 300 days per year and has found that an order must be placed with his supplier 6 working days before he can expect to receive that order. For this subassembly, find: a) Economic order qua ntity. b) Annual holding cost. c) Annual ordering cost. d) Reorder point. |
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