AaBbCcAaBbCcAaBbCcNo SpacingNormalReuseHeading 1ReplaceFilesParagraphStylesEditingReuse FilesItem SKU A3378 has a demand that is normally distributed during the lead time, with amean of 360 units and standard deviation of 12. If Hinsdale cannot have stockouts inmore than 10% of the time in any order, how much safety stock should be maintainedand at what reorder point?1. SKU F5402: daily demand is normally distributed with a mean of 16, standarddeviation of 4, lead time is 4days, and must operate at a 95% service level.2. SKU B7319: daily demand is constant at 24 units per day, lead time is normally witha mean of 6 days and standard deviation of 2 days, and must operate at a 95% servicelevel.3. SKU F9004: daily demand is normally distributed with a mean of 21 units and astandard deviation of 3 days.The lead time is also normally distributed with a mean of 4 days, standard deviation of 2days, and a servicelevel of 90% is required.dictions: Onacer%244.%&8.9.y

Given data: Demand during lead time = 360 units Standard Deviation (σdLT) = 12 Stock out = 10%…

Answered: Normal No Spacing Replace Reu Heading 1…

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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Under the last-in, first-out (LIFO) inventory valuation method, a price index for inventory must be established for tax purposes. The quantity weights are based on year-ending inventory levels. Unit Price ($) Product EndingInventory Beginning Ending A 500 0.15 0.19 B 50 1.40 1.80 C 100 4.50 4.20 D 60 12.00 13.60 Use the beginning-of-the-year price per unit as the base-period price and develop a weighted aggregate index for the total inventory value at the end of the year. (Round your answer to the nearest integer.) I = ?? What type of weighted aggregate price index must be developed for the LIFO inventory valuation? -Paasche index -Laspeyres Index
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I need a detailed explanation on how to solve this problem: A paint shop implements an inventory policy on its stock of white paint, which costs the store $6 per can. Monthly demand for cans of white paint is normal with mean 28 and standard deviation 8. The replenishment lead time is 14 weeks. Excess demand is backordered, but costs $10 per back ordered can in labor and loss of goodwill. There is a fixed cost of $15 per order, and the holding cost is based on 30% interest rate per annum. In your computations, assume 4 weeks per month. - Write down the model name and parameters. - What are the optimal lot size and reorder points for white paint (include the formulas)? - What is the optimal safety stock (include the formula)? *** Suppose the paint shop from the above problem adopts a service level policy. - What are the optimal lot size and reorder points for white paint, such that 90% of the cycles are filled without backordering (include all formulas)? - What is the fill rate…
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The Rahway, New Jersey, plant of Metalcase, a manufacturer of office furniture, produces metaldesks at a rate of 200 per month. Each desk requires 40 Phillips head metal screws purchasedfrom a supplier in North Carolina. The screws cost 3 cents each. Fixed delivery charges and costsof receiving and storing shipments of the screws amount to about $100 per shipment, independently of the size of the shipment. The firm uses a 25 percent interest rate to determineholding costs. Metalcase would like to establish a standing order with the supplier and is considering several alternatives. What standing order size should they use?
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A component used in a manufacturing facility is ordered from an outside supplier.Because the component is used in a variety of end products, the demand is high. Estimated demand (in thousands) over the next 10 weeks isWeek 1 2 3 4 5 6 7 8 9 10Demand 22 34 32 12 8 44 54 16 76 30The components cost 65 cents each and the interest rate used to compute the holding cost is 0.5 percent per week. The fixed order cost is estimated to be $200. (Hint:Express h as the holding cost per thousand units.)d. Which method resulted in the lowest-cost policy for this problem?

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