ABC Inc. orders components for distribution at a monthly demand of 900 units. Holding costs are 15% of the unit cost of $23.75. The ordering cost is $47.35. The company operates 240 days per year a. If the company wishes to effectively procure these components, what would be the optional amount to order? [Select] b.. What is the average inventory? [Select] c. How many order cycles are there per year? [Select]
Q: Which of the following is true? Select one: a) The seller or the supplier shall perform his/her…
A: A legal document that specifies the terms and conditions between buyers and sellers is known as a…
Q: Answer the given question with a proper explanation and step-by-step solution. SC consulting, a…
A: note that in part c, one might have to run the solver multiple times for an optimal solution.
Q: A manufacturing company preparing to build a new plant is considering three potential locations for…
A: Total cost crossover point can be caculate the unit sale point which is equal for both models. The…
Q: (In Urban Air Mobility) Please find out whether FAA have relevant safety target values according to…
A: The Federal Aviation Administration (FAA) has established safety standards and regulations for Urban…
Q: List and Expalin any sustainable practices being currently implemented in the resort discussing the…
A: Sustainable management practices can support the process that continues over time. Businesses use…
Q: Downtime and malfunctions might be the consequence of inadequate wireless networks. Choose three…
A: Downtime and malfunctions might be the consequence of inadequate wireless networks and there could…
Q: Draw a precedence diagram. b. What cycle time would provide the desired output? c. What is the…
A: For the given question, I could see that each work element comes with the immediate predecessor…
Q: Debates over centralised and decentralised procurement, and the linked issue of how much purchasing…
A: The pros and cons of centralized versus decentralized procurement have been hotly contested in the…
Q: A company is adopting a new human resource information system that uses cloud computing. In which…
A: A cloud-based human resource information system can be defined as a device that permits associations…
Q: QUESITON 26 Calculate the percentage of assets committed to inventory, where Panda lnc has…
A: As per guidelines, experts can only solve the first question. The percentage of assets is divided…
Q: OM Builders Inc. is starting a brand-new development of 10 residential houses in an up and coming…
A: “Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: (a) Find the critical path. (Enter your answers as a comma-separated list.) A, C, D, F, H x (b) What…
A: NOTE: We are allowed to do the first three sub-parts only. Formulae to be used: For Finding…
Q: Explain why a manufacturer with diverse product lines may benefit from an ABC system.
A: An Activity-Based Costing (ABC) system is a costing method that assigns costs to products or…
Q: PROBLEM A Use the following to answer questions 25-28: Last year, the Boise Potato Company (sales of…
A: Work productivity is a proportion of monetary performance that contrasts how much output and how…
Q: Define organizational environments
A: The various forces that surround a business organization make up its environment. or the structure…
Q: In what ways might data be gathered to fill out an exhaustive operations manual?
A: An operations manual can be defined as a reference book for your business operations. It is a clever…
Q: Please write a Strategic Mission and Vision Statement for a Taxi Service called D Taxi's
A: Introduction: A vision and mission statement is important for any organization, as it provides…
Q: Given the following data, use least-squares regression to derive a trend equation: 1 3 Period Demand…
A: Given data- Period Demand 1 8 2 9 3 7 4 8 5 9 6 13
Q: A.3 Please look at the image below and explain the following words, and please providing some at…
A: A message is a piece of information or communication that is transmitted from one person or entity…
Q: Mechanics : 1. What are the different Microsoft Products you use? 2. What is your favorite…
A: 1) Different Microsoft products I use are MS office tools such as MS word,Powerpoint and MS…
Q: Q4) A manufacturing company preparing to build a new plant is considering three potential locations…
A: Given-
Q: Check the following stories and discuss the change of leadership in Netflix and its potential…
A: The concept of leadership change is based on change leadership and leadership changes are different.…
Q: The value of an objective function decreases as it is moved away from the origin O True O False
A: To address issues involving maximizing or reducing a linear objective function while considering a…
Q: (a) maximize subject to - 2x₁ + x₂ F₁-x₂ ≤ 1, 2x1 - x₂ ≥ 1, 2x1 + 2x₂ ≥ 4, I1, I2 20
A: Linear programming is a mathematical optimization technique used to optimize a linear objective…
Q: Integrated Health was a large private, nonprofit health care system located in Tempe,Arizona. A year…
A: Change management is the most common way of directing authoritative change to completion, from the…
Q: answer the following questions in one paragraph (100 – 150 words) each. Use your own words What is…
A: The questions above concern ERP software, a business management software that unifies diverse…
Q: 1. Normally warehouses will be equipped with Materials handling equipment (MHE) to suit its…
A: There are several factors that influence the selection of Materials Handling Equipment (MHE) at…
Q: Airway (a Midwestern department store chain) andCorvett (an Eastern department store chain) are…
A: Given that: If neither chain expands, then Airway’s profits will be $3 million and Corvett’s will be…
Q: The major automakers aim to invest millions on electric car product and manufacturing process…
A: The major automakers aim to invest millions in electric car product and manufacturing process…
Q: Schwinn holds 3 type of bicycles: race bikes, cross-country bikes, and trail bikes. He sells race…
A: To optimize the profit, Schwinn needs to determine how many bikes of each type to purchase and…
Q: Question 1 Given the following payoff table with the profits ($m), a firm might expect alternative…
A: To calculate the Expected Value of Perfect Information (EVPI), we need to first find the Expected…
Q: we explore the different ways in which project management software may facilitate the scheduling…
A: A tool for organizing and managing resources to ensure a project's success is project management…
Q: How can a company ensure ethical and sustainable practices in its global supply chain, particularly…
A: Sustainable supply chain management is defined as the management of material, information and…
Q: Cooper River Glass Works (CRGW) produces four different models of desk lamps as shown in Figure…
A: Given, There are four workstations given in this question Alpha, bravo, Charlie, and Delta.…
Q: Project Manager (PM) Alyssa starts a job for which she makes a detailed plan. The project…
A: Alyssa, a project manager, begins a task for which she creates a thorough plan. This plan includes…
Q: What are the differences between in-house e-commerce development with packaged solutions and service…
A: In-house e-commerce development refers to the process of building an e-commerce platform or website…
Q: Plot the data and provide insights about the time series. The correct graph is -Select-graph Agraph…
A: For the given dataset, I would use a two-period moving average and a three-period moving average…
Q: What are some examples of areas where project management and software development diverge from one…
A: Here, I would include various examples of areas where project management and software development…
Q: What is a Project? For the following activities or organisations, state whether or not they fulfil…
A: Here, First, I will describe the definition of a project, then, for the given activities, I would…
Q: The following is an example of a qualitative factor: The increase in sales volume after opening…
A: Qualitative factors and quantitative factors are two types of variables that are often used in…
Q: The table shows the gross requirements of a product. You are also given the following information:…
A: Ans) Net Requirements = Maximum (Gross Requirements - Inventory in previous period,0) For L4L…
Q: Case Study: Ontario Power Generation The history of Molson started over 220 years ago when John…
A: Below are the reasons for acquisitions and HR implications:
Q: Company: Medtronic 1. What are the pros and cons of working from home with Medtronic?
A: Pros of working from home Medtronic: Flexibility: Working from home provides with more flexibility…
Q: How does software project management differ from traditional project management?
A: Software project management shares many similarities with traditional project management, it also…
Q: Problem 7-14 (pg 278) Using the following equations, graph the constraints and solve using the…
A: Given LP- Decision Variable:X1 = No. of air conditioners to be producedX2 = No. of fans to be…
Q: Using the following table, calculate the slack for Task D
A: Here, I have been given the activity table data, for each activity, I have been given the duration…
Q: Consider the following optimization problem Minimize 3x1+8x2 s.t. 2x1+6x2 > 6 x1+2x2 > 2.5 x1+3x2 >…
A: As per Bartleby guidelines, we can only solve the first three subparts of one question at a…
Q: Decision Tree A wine maker must decide whether to harvest grapes now or in four weeks. Harvesting…
A: The optimal expected value alludes to the most extreme or least expected value that can be…
Q: Panda Inc operates 10 photocopy machines, over 8 hours per day, over 2 shifts per day, 5 days per…
A: Given Operates with 10 photocopy machines. Work for 8 hours per day. Work for 2 shifts per day.…
Q: Do you feel that firms that focus on their customers are more lucrative because of the influence…
A: Sometimes many companies do not have a clear sense of targeting their customers. Every business is…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- The chapter presented various approaches for the control of inventory investment. Discuss three additional approaches not included that might involve supply chain managers.Company XYZ makes bicycles. XYZ produces 400 bicycles a month. They must buy tires from a supplier at a cost of $20 per tire. The inventory holding cost rate is 15% and ordering costs $50 per order. Part i) Let’s assume that there is no shortage inventory allowed. Calculate optimal annual order quantity Calculate annual total inventory cost ^already have the answer for this one. Just input the whole question so it would make more sense. Part ii) Let’s assume that shortage inventory is allowed. With that being said, we know that the shortage cost per unit of item is $5 per year. <<this is the one that I am stuck on. Calculate optimal annual order quantity Calculate annual total inventory cost Hint: Each bicycle has two tires.Enrun Corporation expects to order 140,000 memory chips for inventory during the coming year, and it will use this inventory at a constant rate. Fixed ordering costs are $300 per order; the purchase price per chip is $20; and the firm’s inventory carrying costs is equal to 20 percent of the purchase price. (Assume a 360-day year.) What is the economic ordering quantity for chips? If Enrun holds a safety stock equal to a 30-day supply of chips, what is its average inventory level? Assume that Enrun holds a safety stock equal to a 30-day supply of chips. What is the maximum amount of inventory that Enrun will have on hand at any time, that is, what will be the inventory level right after a delivery is made?
- It is your responsibility, as the new head of the automotive section of Nichols Department Store, to ensure that reorder quantities for the various items have been correctly established. You decide to test one item and choose Michelin tires, XW size 185 × 14 BSW. A perpetual inventory system has been used, so you examine this as well as other records and come up with the following data: Cost per tire $35 each Holding cost 20 percent of tire cost per year Demand 1,000 per year Ordering cost $20 per order Standard deviation of daily demand 3 tires Delivery lead time 4 days Because customers generally do not wait for tires but go elsewhere, you decide on a service probability of 98 percent. Assume the demand occurs 365 days per year. Determine the order quantity. Note: Round your answer to the nearest whole number. Determine the reorder point. Note: Use Excel's NORM.S.INV() function to find the z value. Round z value to 2 decimal places and final answer to the…Petromax Enterprises uses a continuous review inventorycontrol system for one of its SKUs. The following informationis available on the item. The firm operates 50 weeks in a year.Demand = 50,000 units>yearOrdering cost = $35>orderHolding cost = $2>unit>yearAverage lead time = 3 weeksStandard deviation of weekly demand = 125 unitsa. What is the economic order quantity for this item?b. If Petromax wants to provide a 90 percent cycle-servicelevel, what should be the safety stock and the reorder point?Thomas Kratzer is the purchasing manager for theheadquarters of a large insurance company chain with a centralinventory operation. Thomas’s fastest-moving inventory item hasa demand of 6,000 units per year. The cost of each unit is $100, and the inventory carrying cost is $10 per unit per year. The aver-age ordering cost is $30 per order. It takes about 5 days for an order to arrive, and the demand for 1 week is 120 units. (This is acorporate operation, and there are 250 working days per year.)a) What is the EOQ?b) What is the average inventory if the EOQ is used?c) What is the optimal number of orders per year?d) What is the optimal number of days in between any two orders?e) What is the annual cost of ordering and holding inventory?f ) What is the total annual inventory cost, including the cost ofthe 6,000 units?
- Which of the following is true for inventory control: Select one a . Economic order quantity has minimum cost per order b . All the options are correct c . Inventory carrying cost increases with quantity per order d. Ordering cost decreases with lot sizeAssume that JAO, Inc., a manufacturer of electronic test equipment, uses 14,400 units of an item annually. Its order cost is P500 per order, and the carrying cost is P10 per unit per year. It requires 10 days to place and receive an order. 1. The ordering costs is 5,696 4,026 6,000 4,8002. The inventory costs is 6,000 12,000 9,600 8,052An SKU costing $10 is ordered in quantities of 500 units, annual demand is 5200units, carrying costs are 20%, and the cost of placing an order is $50. Calculate thefollowing:a. Average inventory.b. Number of orders placed per year.c. Annual inventory carrying cost.d. Annual ordering cost.e. Annual total cost.
- Edwarldo’s Manufacturing uses 2,400 units of a product per year on a continuous basis. The product Carrying Cost are $60 per year and Ordering Cost are $250. It takes 20 days to receive a shipment after an order is placed and the firm requires a safety stock of 8 days of usage in inventory. Show Computations and Explanations. A. Calculate the Economic Order Quantity (round up the answer to the nearest whole unit) (Format: 111) B. Calculate the Total Cost per year to order and carry this item. (Format: 1,111) C. Their supplier has notified the company that if they increase their order quantity by 58 units, they will give the company a discount. Calculate the Dollar Discount that the company will have to at least give to Edwarldo’s Manufacturing to be indifferent. (Format: 111)Daily demand for a certain product is normally distributed with a mean of 100 and a standarddeviation of 15. The supplier is reliable and maintains a constant lead time of 5 days.The cost of placing an order is $10 and the cost of holding inventory is $0.50 per unit peryear. There are no stockout costs, and uni lled orders are i lled as soon as the order arrives.Assume sales occur over 360 days of the year.Your goal here is to i nd the order quantity and reorder point to satisfy a 90 percentprobability of not stocking out during the lead time.a. What type of system is the company using?b. Find the order quantity.c. Find the reorder point.Staples buys printer cartridges for $20. The demand for the cartridges is 300 per month. Staples incurs a fixed cost for managing the cartridges of $100. Their annual holding cost is 20%. Calculate Inventory turns per year Number of orders Staples makes per year.