Essentials of Business Communication (with Premium Website, 1 term (6 months) Printed Access Card)
Essentials of Business Communication (with Premium Website, 1 term (6 months) Printed Access Card)
10th Edition
ISBN: 9781285858913
Author: Mary Ellen Guffey, Dana Loewy
Publisher: South-Western College Pub
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Chapter 9, Problem 15CT
Summary Introduction

To critically think about:

The ways in which report writers can ensure that they present their topics factually and clearly.

Introduction:

Business requires various reports to be presented to the consumers regarding the company's performance. Some of them are the company's annual report, performance report, etc. Writers who are specialized and experienced in report writing generally write these reports. A report is actually written for a specific target audience. Specific information is analyzed and applied to prepare a report.

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​Ruby-Star Incorporated is considering two different vendors for one of its​ top-selling products which has an average weekly demand of 70 units and is valued at ​$90 per unit. Inbound shipments from vendor 1 will average 390 units with an average lead time​ (including ordering delays and transit​ time) of 4 weeks. Inbound shipments from vendor 2 will average 490 units with an average lead time of 2 weeksweeks. ​Ruby-Star operates 52 weeks per​ year; it carries a 4​-week supply of inventory as safety stock and no anticipation inventory. Part 2 a. The average aggregate inventory value of the product if​ Ruby-Star used vendor 1 exclusively is ​$enter your response here.
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Sam's Pet Hotel operates 50 weeks per year, 6 days per week, and uses a continuous review inventory system. It purchases kitty litter for $13.00 per bag. The following information is available about these bags: > Demand 75 bags/week > Order cost = $52.00/order > Annual holding cost = 20 percent of cost > Desired cycle-service level = 80 percent >Lead time = 5 weeks (30 working days) > Standard deviation of weekly demand = 15 bags > Current on-hand inventory is 320 bags, with no open orders or backorders. a. Suppose that the weekly demand forecast of 75 bags is incorrect and actual demand averages only 50 bags per week. How much higher will total costs be, owing to the distorted EOQ caused by this forecast error? The costs will be $higher owing to the error in EOQ. (Enter your response rounded to two decimal places.)

Chapter 9 Solutions

Essentials of Business Communication (with Premium Website, 1 term (6 months) Printed Access Card)

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