Dunstreet's Department Store would like to develop an inventory ordering policy with a 99 percent probability of not stocking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets. Demand for white percale sheets is 4,300 per year. The store is open 365 days per year. Every four weeks (28 days) inventory is counted and a new order is placed. It takes 12 days for the sheets to be delivered. Standard deviation of demand for the sheets is eight per day. There are currently 160 sheets on-hand. How many sheets should you order? Note: Use Excel's NORM.S.INV() function to find the z value. Do not round intermediate calculations. Round z value to 2 decimal places and final answer to the nearest whole number. > Answer is complete but not entirely correct. Number of sheets 330 x

Dunstreet's Department Store would like to develop an inventory ordering policy with a 99 percent probability of not stocking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets. Demand for white percale sheets is 4,300 per year. The store is open 365 days per year. Every four weeks (28 days) inventory is counted and a new order is placed. It takes 12 days for the sheets to be delivered. Standard deviation of demand for the sheets is eight per day. There are currently 160 sheets on-hand. How many sheets should you order? Note: Use Excel's NORM.S.INV() function to find the z value. Do not round intermediate calculations. Round z value to 2 decimal places and final answer to the nearest whole number. > Answer is complete but not entirely correct. Number of sheets 330 x

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Dunstreet's Department Store would like to develop an inventory ordering policy with a 95 percent probability of not stocking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets. Demand for white percale sheets is 5,000 per year. The store is open 365 days per year. Every two weeks (14 days) inventory is counted and a new order is placed. It takes 10 days for the sheets to be delivered. Standard deviation of demand for the sheets is five per day. There are currently 150 sheets on-hand. How many sheets should you order? Note: Use Excel's NORM.S.INV() function to find the z value. Do not round intermediate calculations. Round z value to 2 decimal places and final answer to the nearest whole number.
Dunstreet's Department Store would like to develop an inventory ordering policy of a 90 percent probability of not stocking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets.Demand for white percale sheets is 3,400 per year. The store is open 365 days per year. Every two weeks (14 days) inventory is counted and a new order is placed. It takes 12 days for the sheets to be delivered. Standard deviation of demand for the sheets is five per day. There are currently 170 sheets on hand. How many sheets should you order?
6-43 Dillard Travey receives 5,000 tripods annually from Quality Suppliers to meet his annual demand. Dillard runs a large photographic outlet, and the tripods are used primarily with 35-mm cameras. The ordering cost is $15 per order, and the carrying cost is 50 cents per unit per year. Quality is starting a new option for its customers. When an order is placed, Quality will ship one-third of the order every week for three weeks instead of shipping the entire order at one time. Weekly demand over the lead time is 100 tripods. a. What is the order quantity if Dillard has the entire order shipped at one time? b. What is the order quantity if Dillard has the order shipped over three weeks using the new option from Quality Suppliers, Inc.? To simplify your calculations, assume that the average inventory is equal to one-half of the maximum inventory level for Quality’s new option. c. Calculate the total cost for each option. What do you recommend?
Dunstreet’s Department Store would like to develop an inventory ordering policy of a 95 percent probability of not stocking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets. Demand for white percale sheets is 5,000 per year. The store is open 365 days per year. Every two weeks (14 days) inventory is counted and a new order is placed. It takes 10 days for the sheets to be delivered. Standard deviation of demand for the sheets is five per day. There are currently 150 sheets on hand. How many sheets should you order?
1(a). Weekly demand for EPSON printers at a WALMART store is normally distributed with a mean of 280 and a standard deviation of 180. The store manager continuously monitors inventory and currently orders 1,100 printers each time the inventory drops to 700 printers. EPSON currently takes two weeks to fill an order. How much safety inventory should WALMART carry? What is the Cycle Service Level (CSL)? What is the expected shortage per replenishment cycle (ESC)? What is the fill rate (fr)?
weekly demand for hamleys (a famous toy brand) at a toy store is normally disrtibuted with a mean of 250 and a standrd devaiton of 150.Ther toy store is opened 7 days a week.The toy store owner continoulsy monitors the inventory .Hamleys takes 2 weeks to fill an order with a standard devaiton of 4 days. 1] how much inventory should the sotre carry at the reorder point. 2] how much inventory would that be at the reorder point if the cycle service was increased to 98%?
Please do not give solution in image format thanku Prince Electronics, a manufacturer of consumer electronic goods, has five distribution centers in different regions of the country. For one of its products, a highspeed modem priced at $360 per unit, the average weekly demand at each distribution center is 85 units. Average shipment size to each distribution center is 450 units, and average lead time for delivery is 2 weeks. Each distribution center carries 2 weeks' supply as safety stock but holds no anticipation inventory. Part 2 a. On average, how many dollars of pipeline inventory will be in transit to each distribution center? $enter your response here. (Enter your response as an integer.)
Dunstreet’s Department Store would like to develop an inventory ordering policy with a 95 percent probability of not sticking out. To illustrate your recommended procedure, use as an example the ordering policy for white percale sheets. The demand for white percale sheets is 5,000 per year. The store is open 365 days per year. Every two weeks (14 days) inventory is counted and a new order is placed. It takes 10 days for the sheets to be delivered. The standard deviation of demand for the sheets is 5 per day. There are currently 150 sheets on-hand.How many sheets should you order?
University Drug Pharmaceuticals orders its antibiotics every two weeks (14 days) when a salesperson visits from one of the pharmaceutical companies. Tetracycline is one of its most prescribed antibiotics, with average daily demand of 2,000 capsules. The standard deviation of daily demand was derived from examining prescriptions filled over the past three months and was found to be 800 capsules. It takes f ive days for the order to arrive. University Drug would like to satisfy 99 percent of the prescriptions. The salesperson just arrived, and there are currently 25,000 capsules in stock.How many capsules should be ordered?
Thomas Kratzer is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operation. Thomas’s fastest-moving inventory item has a demand of 6,000 units a year. The purchasing cost of each unit is $16 (additional 5% discount applies if at lease 150 units ordered a time), and the inventory carrying cost is $3 per unit per year. The average ordering cost is $10 per order. It takes about 3 working days for an order to arrive. (This is a corporate operation, and there are 300 working days per year.) Answer the following questions, Q1~Q5. Note that you must include Excel formulas/calculations showing how you arrive at the answer. Q1: Assume that the demand is consistent throughout the year. What is the ROP? Note that stockouts and unnecessary inventory holding should be avoided at any times. Q2: Assume that the demand is consistent throughout the year. Based on the EOQ model, to minimize the costs of purchasing, ordering and inventory holding…
Historical records on the use of spare parts for several large hydraulic presses are to serve asan estimate of usage for spares of a newly installed press. Stockout costs involve downtimeexpenses and special ordering costs. These average $4,200 per unit short. Spares cost $800each, and unused parts have zero salvage. Determine the optimal stocking level.Spares Used Relative Frequency Cumulative Frequency0 .20 .201 .40 .602 .30 .903 .10 1.004 or more .001.00
Customers at Joe’s Office Supply Store demand an -average of 6000 desks per year. Each time an order is placed, an ordering cost of $300 is incurred. The annual holding cost for a single desk is 25% of the $200 cost of a desk. One week elapses between the placement of an order and the arrival of the order. In parts a to d, assume that no shortages are allowed. a. Each time an order is placed, how many desks should be ordered? b. How many orders should be placed each year? c. Determine the total annual costs (excluding purchasing costs) of meeting the customers’ demands for desks. d. If the lead time is five weeks, what is the reorder point? (One year equals 52 weeks.) e. How do the answers to parts a and b change if shortages are allowed and a cost of $80 is incurred if Joe’s is short one desk for one year