at is the economic order quantity?
Q: If Super Toy Mart had made a perfect forecast of demand over the past 12 months and had decided to…
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Q: Describe the concept of independent vs dependent demand. Give an example of each.
A: Demand refers to the desire that a consumer has to buy a good or service. It depends on many factors…
Q: A: Find the expected demand for (2020) by using SMA and WMA. Years Demand Probability 2016 8 0.11…
A: Expected demand=8+11+13+154=11.75 Hence, the expected demand using SMA is 11.75.
Q: HOW MUCH TO ORDER: ECONOMICORDER QUANTITY MODELS.
A: The quantity of inventory that should be ordered at once so as to minimize the ordering and holding…
Q: Illustrate the economic order quantity model?
A: Economic order quantity or EOQ is the number of goods or inventory a business should order to…
Q: Michelle's Monopoly Mutant Turtles (MMMT) has the exclusive right to sell Mutant Turtle t-shirts in…
A: (a) Q = 10000/P2 P = 100 * Q-1/2 Total revenue = PQ = 100*Q1/2 Derivation with respect to Q for…
Q: Demand history for the past three years is shown below. Year Quarter Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2…
A: A seasonal index is an index value assigned to each period of the time series within a year that…
Q: 1. What is the optimal order quantity? 80 units 800 units 40 units 400 units 2. How many orders…
A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…
Q: What is economic order quantity?
A: Define economic order quantity:Economic order quantity is the method that helps to determine the…
Q: Define the term Independent Demand and explain how it relates to the sales and marketing activity of…
A: Independent demand The demand for a commodity is independent of the demand for every other item in…
Q: Economic order quantity can be useful only if some factors are taken into consideration. Explain…
A: An economic order quantity model minimizes the performance aspect by balancing the cost between…
Q: Find arc elasticity of demand, if quantity demanded falls from 1000 to 950 when price of the item is…
A: Arc Elasticity of Demand determines sensitivity to price change over a particular part of the demand…
Q: What is the Ending Inventory in period 3 (El3)? Enter your aswer as a whole number
A: THE ANSWER IS AS BELOW:
Q: 3- Find the elasticities for different prices along the demand curve Q = 100 - 2(P), first when %3D…
A: The demand curve shows the relationship between the change in price of a good or service and the…
Q: The local supermarket buys lettuce each day to ensure really fresh produce. Each morning any lettuce…
A: Given information:Price of lettuce (P) = $11 per boxSelling Price of lettuce (SP) = $25 per…
Q: What is the purpose of inventory control?
A: A computerised inventory control system integrates all facets of inventory management into a single…
Q: How are inventory levels monitored in retail stores?
A: Inventory or Stock refers to all the goods and material that a company holds to either use as raw…
Q: Why do you think Dell holds the order size Q, constant in itscontinuous order system?
A: Dell is an American multinational company. Dell company designs and manufactures personal computers,…
Q: For the implementation of "Level" strategy, the average demand (in units/day) over the six- month…
A: With the above-given table, the monthly production has to be computed first. Thereafter the average…
Q: Find the expected demand for 2020. a = 0.6
A: Previous period actual demand (A) = 650 Previous period forecast (F) = 950 Smoothing constant (a) =…
Q: Which of the following is NOT one of the major causes of the bullwhip effect? A. demand forecast…
A: The bullwhip effect means a condition in which the supply chain of an organization puts pressure to…
Q: What is the total demand of an enterprise with an economic order quantity of 1,500 units, a cost of…
A: EOQ=1,500 units Set up cost=11.250 TL Holding cost=75 TL
Q: If Tom decides to order at the economic order quantity, what is the TBO?
A: EOQ stands for economic order quantity. It is a firm's optimal order quantity that undervalues its…
Q: Describe the inventory models of stochastics? What is the use of when?
A: Let's take a closer look at stochastic simulations. Any corporation aims to fulfil and meet the…
Q: What is lot sizing, what is its goal, and why is it an issue with lumpy demand?
A: Lot sizing is used to aggregate the net requirements into batches which reduces cost and increases…
Q: Team in-stock rate demand/week price/cap Mallards 70% 200 $20 Chinooks 95% 50 $16 Dock Spiders 90%…
A: Given: Team In-Stock Rate Demand/week Price/Cap Mallards 70% 200 $20 Chinooks 95% 50 $16…
Q: Describe what are just in time inventory pros and cons for a business?
A: Just-in-Time inventory is the concept of inventory management in which a company receives the stock…
Q: What is dependent demand? And independent demand?
A: Dependent demand: The demand of a product which is influenced and controlled by the demand of…
Q: Find the following. i) Economic order quantity ii) Optimum level of shortage
A: The answer is as below:
Q: How to Treat Inventory?
A: Inventory management decisions need to be made based on a consistent set of data that is shared…
Q: Dan McClure owns a thriving independent bookstore in artsy New Hope, Pennsylvania. He must decide…
A: a) z, = (Desired sales results - Mean) divided by Standard Deviation Desired sales = 400 Mean = 200…
Q: 1) Assume that you are a manager of one of the hotels in the UAE. As you know, UAE has an excellent…
A: 1) Demand for room in Hotels increases in UAE in a specific period of time and then decreases once…
Q: Explain and apply the production order quantity model
A: Manufacture is practiced to transform raw resources or inputs into completed products in a…
Q: DEFINE Expected value of demand
A: Expected value can be calculated by multiplying the respective possible outcomes in the future with…
Q: Explain the two common inventory estimation methods, mentioning key similarities and differences…
A: Inventory estimation refers to the method of determining the value of unsold inventory. Inventory…
Q: A toy RETAILER is deciding to sell a seasonal toy at the beginning of Q4. The retail price is $28,…
A: Calculate average salvage cost since two option of salvaging are given. Profit maximizing quantity =…
Q: Define primary demand?
A: Demand is a priciple that refers to the desire of the consumer in terms of purchasing goods and…
Q: 9 3 points Problem 16-16 (Algo) The McDonald's fast-food restaurant on campus sells an average of…
A: Effective management of the inventory levels can help in saving cost and can give the firm a…
Q: Calculate the economic order quantity and identify the underlying assumptions.
A: EOQ represents Economic Order Quantity. It is an estimation utilized in the field of Operations,…
Q: Where possible, the inventory costing method shouldmimic actual product flows.” Do you agree?…
A: Inventory costing technique: It is consistent with saying that the Inventory Costing technique is…
Q: State what is meant by Abc inventory classification system and indicate it's pros ?
A: Management is the method of purchasing, storing, then utilizing a business's inventory. This…
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- If D = 8,500 per month, S = $46 per order, and H = $2.00per unit per month, a) What is the economic order quantity? The EOQ is enter your response here units (round your response to the nearest whole number).Why do you think Dell holds the order size Q, constant in itscontinuous order system?Seah Corporation presents the following data: Usage is 400 units per month, cost per order is P20, and carrying cost per unit is P6. Given these data, answer the following questions: (A) What is the economic order quantity? (B) How many orders are required each month? CHOICES A) 32 and (B) 6 (A) 32 and (B) 8 (A) 52 and (B) 6 (A) 52 and (B) 8 (A) 62 and (B) 10
- An organization manufactures supplies for landscaping companies which has an annual demand of 16,000. The cost of storing each unit is $2.5/year and $50 to make an order. Say the company has 300 days of annually, answer the following questions: a. How much is the total inventory cost?For a particular SKU, the lead time is 4 weeks, the average demand is 150 units perweek, and safety stock is 100 units. What is the average inventory if 1600 units areordered at one time? What is the order point?Ergonomics Inc. sells ergonomically designed office chairs. The company has the following information: Average demand = 36 units per day Average lead time = 50 days Item unit cost = $70 for orders of less than 400 units Item unit cost = $68 for orders of 400 units or more Ordering cost = $45 Inventory carrying cost = 25% The business year is 250 days Assume there is no uncertainty at all about the demand or the lead time. Calculate EOQ if unit cost is $70 and $68. (Note: These EOQs do not need to be feasible in theirprice range.) (Round up your answers to the next whole number.) EOQ Unit cost at $70 units Unit cost at $68 units Calculate annual ordering costs for each alternative? (For the first value, use your rounded EOQ from Part a. For the second value, use the lowest feasible order quantity needed to qualify for that price level. Round your answers to 2 decimal places.) Annual Ordering Cost Unit cost at $70 Unit…
- after inventory you found out that there are 10 green shirts, 5 white shirts, and 3 red shirts sold as reflected in the sales report of the booth. What part of the inventory was sold if you had 5 colors each shirt on stock, which is 1 dozen pero color?For a particular SKU, the lead time is 6 weeks, the average demand is 90 units aweek, and safety stock is 200 units. What is the average inventory if 10 weeks’ supply is ordered at one time? What is the order point?Weekly Average Demand 110 Standard deviation of (weekly) demand 30 Setup cost ($) 1400 Lead time (in weeks) 2 Procurement cost ($) 200 Holding cost /unit/week ($) 3 You are given the demand and inventory related information about a grocery store’s product in the table. The store is open for 46 weeks in a year. What is the reorder point if it wants to achieve a service level of 97%? (Do not round your intermediate calculations. Round your final answers to the nearest whole number.
- After inventory you found out that there are 10 green shirts, 5 white shirts, and 3 red shirts sold as reflected in the sales report of the booth. What part of the inventory was sold if you had 5 colors of each shirt on stock, which is 1 dozen per color?A food processor uses approximately 27,000 glass jars a month for its fruit juice products. Because of storage limitations, a lot size of 4000 jars has been used. Monthly holding cost is $0.18 per jar, and reordering cost is $60 per order. Please answer the following questions by attaching your answers in a Word or Excel document. Show all work. Round up your answers where relevant. 1. What penalty is the company incurring by its present order size. Hint: compare the cost incurred as a result of using the current order size of 4000 jars versus the cost that would be incurred as a result of using the EOQ lot size. 2. What is the number of orders per month that would be placed if the company uses the EOQ order? 3. What is the maximum number of jars that are held in inventory in a given ordering cycle using the EOQ? 4. Assume that the firm operates 30 days per month and the lead time (LT) for each order is 5 days. What is the reorder point (ROP)? Verbally interpret the meaning of this…The materials manager for a billiard ball maker must periodically place orders for resin, one of the raw materials used in producing billiard balls. She knows that manufacturing uses resin at a rate of 50 kilograms each day, and that it costs $.04 per day to carry a kilogram of resin in inventory. She also knows that the order costs for resin are $100 per order, and that the lead time for delivery is four days. If the order size was 1,000 kilograms of resin, what would be the average inventory level?