Engineering Economy
Engineering Economy
16th Edition
ISBN: 9780133582819
Author: Sullivan
Publisher: DGTL BNCOM
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Chapter 11, Problem 34FE
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Mother E, a business selling specialized helmet, has a carrying cost of P70 per unit per order. In order to satisfy the customers coming from various places, they order every 4 months. The stockout cost is P50 per unit per year. The following are the demand for specialized helmet Demand during lead time Probability 50 .1 60 .2 70 .2 80 .2 90 .1 The reorder point is 70 units. What level of safety stock should be maintained?
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A new manufacturing line is being built and your team has narrowed it down to 2 options. Which one is the best option using a 20% rate to evaluate each option? Answer the question by entering the amount of savings by choosing the best option. Margin of error: +/- 10 Enter your answer as a positive number representing savings from one option to another. Hint: When you use Net present Worth Analysis you must must LCM of the lives to assess each option over the same period. Option A B Operating First and Salvage Cost Maintenance Value Cost/Yr $18M $5M $25M $3M 501,025 $4M $6M Life 10 years 20 years
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The growing economy of the electric car industry; Author: TRT World;https://www.youtube.com/watch?v=Qh2jXn_akmk;License: Standard Youtube License