The optimal order quantity per order.

Question

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Answer 1

Question

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

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Answer 2

Question

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

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Answer 3

Question

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

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Answer 4

Question

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

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Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

Answer 6

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

Answer 7

Chapter 16, Problem 1P

a)

Summary Introduction

To determine: The optimal order quantity per order.

Answer 8

a)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal order quantity per order:

Q=2CoDCc=2×450×1200170=79.7

Hence, the optimal order quantity per order is 79.7 units.

Answer 9

a)

Expert Solution

Answer 10

a)

Expert Solution

Answer 11

Expert Solution

Answer 12

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

Answer 13

b)

Summary Introduction

To determine: The minimum total annual inventory costs.

Answer 14

b)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the minimum total annual inventory costs:

TC=CoDQ+CcQ2=450(120079.7)+170(79.72)=6,775.4+6,774.5=13,550

Hence, the minimum total annual inventory costs is $13,550.

Answer 15

b)

Expert Solution

Answer 16

b)

Expert Solution

Answer 17

Expert Solution

Answer 18

c)

Summary Introduction

To determine: The optimal number of orders per year.

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

Answer 19

c)

Summary Introduction

To determine: The optimal number of orders per year.

Answer 20

c)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal number of orders per year:

Optimal number of order=DQ=1,20079.7=15.05

Hence, the optimal number of orders per year is 15.05 orders.

Answer 21

c)

Expert Solution

Answer 22

c)

Expert Solution

Answer 23

Expert Solution

Answer 24

d)

Summary Introduction

To determine: The optimal time between orders.

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

Answer 25

d)

Summary Introduction

To determine: The optimal time between orders.

Answer 26

d)

Expert Solution

Explanation of Solution

Given information:

It is given that the ordering cost (C_o) is $450, demand (D) is 1,200 units, and carrying cost (C_c) is $170.

Determine the optimal time between orders:

Optimal time between orders=Number of working daysOptimal number of orders=36415.05=24.18

Hence, the optimal time between orders is 24.18 days.

Answer 27

d)

Expert Solution

Answer 28

d)

Expert Solution

Answer 29

Expert Solution

Answer 30

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The optimal order quantity per order.

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To determine: The optimal order quantity per order.

Explanation of Solution

To determine: The minimum total annual inventory costs.

Explanation of Solution

To determine: The optimal number of orders per year.

Explanation of Solution

To determine: The optimal time between orders.

Explanation of Solution

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