Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost? Chris Sandvig Irrigation should order O units at a time from |(enter your response as a whole number).
Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost? Chris Sandvig Irrigation should order O units at a time from |(enter your response as a whole number).
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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Can you assist me with Chapter 12 Question 9 it has two parts, Please show the steps it's easier to follow along instead of an excel spreadsheet. Thank you
![Chris Sandvig Irrigation, Inc., has summarized the price list from four potential suppliers of an underground control valve. See the table below. Annual usage is 700 valves; order cost is $10 per order; and annual inventory holding
costs are $5.25 per unit.
Vendor A
Price
$35.00
Vendor B
Quantity
Vendor C
Price
$34.50
Vendor D
Price
$34.25
33.00
31.00
Quantity
1-14
Quantity
1-149
Price
Quantity
1-49
1-24
$34.75
25-99
100-199
15-24
34.75
34.00
50-149
33.75
150-299
25-99
150-299
33.55
32.35
31.15
30.75
32.80
31.60
30.50
32.50
300+
100-199
200-399
300+
31.10
200-399
400+
400+
Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost?
Chris Sandvig Irrigation should order units at a time from
(enter your response as a whole number).](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F35bbd5ab-d496-4896-923e-b18c6a384f2f%2F173f26fc-7e54-438e-8bac-dcca2b4638b1%2F29ax2v5_processed.png&w=3840&q=75)
Transcribed Image Text:Chris Sandvig Irrigation, Inc., has summarized the price list from four potential suppliers of an underground control valve. See the table below. Annual usage is 700 valves; order cost is $10 per order; and annual inventory holding
costs are $5.25 per unit.
Vendor A
Price
$35.00
Vendor B
Quantity
Vendor C
Price
$34.50
Vendor D
Price
$34.25
33.00
31.00
Quantity
1-14
Quantity
1-149
Price
Quantity
1-49
1-24
$34.75
25-99
100-199
15-24
34.75
34.00
50-149
33.75
150-299
25-99
150-299
33.55
32.35
31.15
30.75
32.80
31.60
30.50
32.50
300+
100-199
200-399
300+
31.10
200-399
400+
400+
Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost?
Chris Sandvig Irrigation should order units at a time from
(enter your response as a whole number).
![Based on available information, lead time demand for PC jump drives averages 51 units (normally distributed), with a standard deviation of 4 drives. Management wants a 90% service level. Refer to the standard normal table for
z-values.
a) What value of Z should be applied?
b) How many drives should be carried as safety stock? units (round your response to the nearest whole number).
c) What is the appropriate reorder point? units (round your response to the nearest whole number).](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F35bbd5ab-d496-4896-923e-b18c6a384f2f%2F173f26fc-7e54-438e-8bac-dcca2b4638b1%2Fjn0oz4_processed.png&w=3840&q=75)
Transcribed Image Text:Based on available information, lead time demand for PC jump drives averages 51 units (normally distributed), with a standard deviation of 4 drives. Management wants a 90% service level. Refer to the standard normal table for
z-values.
a) What value of Z should be applied?
b) How many drives should be carried as safety stock? units (round your response to the nearest whole number).
c) What is the appropriate reorder point? units (round your response to the nearest whole number).
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