The GoT cups are a fast seller and you need to ensure that you have enough rolls of paper to fulfill demand. The first stage in the process is to determine the total cost of the current inventory ordering model. Given the following information, how many rolls should they order to minimize costs? Note: the values below are different than the previous question. For your answer, follow the normal rounding rules and answer to 1 decimal place (xx.x). H: $2.00 per unit D: 400 rolls per month S: $20 per order? What formula is used

The GoT cups are a fast seller and you need to ensure that you have enough rolls of paper to fulfill demand. The first stage in the process is to determine the total cost of the current inventory ordering model. Given the following information, how many rolls should they order to minimize costs? Note: the values below are different than the previous question. For your answer, follow the normal rounding rules and answer to 1 decimal place (xx.x). H: $2.00 per unit D: 400 rolls per month S: $20 per order? What formula is used

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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Please do not give solution in image format thanku A mail-order house uses 16,820 boxes a year. Carrying costs are 60 cents per box a year, and ordering costs are $96. The following price schedule applies. Number of Boxes Price per Box 1,000 to 1,999 $1.25 2,000 to 4,999 1.20 5,000 to 9,999 1.15 10,000 or more 1.10 a. Determine the optimal order quantity. (Round your answer to the nearest whole number.) Optimal order quantity boxes b. Determine the number of orders per year.
Do all work in Excel with Formulas An office supply store open 5 days a week must determine the best inventory policy for boxes of copier paper. Weekly demand is nearly constant at 250 boxes and when orders are placed, then entire shipment arrives at once. The cost per box is $22 and the inventory holding cost is 30%. Orders are placed at a cost of $40 each, including preparation time and communication charges, and the lead time is 2 days. a. Find the optimal order quantity. b. What is the reorder point? c. How often should an order be placed? d. What is the cycle time?
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Design your own inventory management problem with the required input data and answer the following questions : a. What is the optimal order size? b. What is the optimal number of orders per year? What is the optimal number of days between orders? d. What is the annual inventory cost? e. If the lead time were X days/weeks/months, what would be the reorder point? f. For what value of ordering cost would Y units of order size be optimal?
Do all work in Excel showing formulas An office supply store open 5 days a week must determine the best inventory policy for boxes of copier paper. Weekly demand is nearly constant at 250 boxes and when orders are placed, then entire shipment arrives at once. The cost per box is $22 and the inventory holding cost is 30%. Orders are placed at a cost of $40 each, including preparation time and communication charges, and the lead time is 2 days. a. Find the optimal order quantity. b. What is the reorder point? c. How often should an order be placed? d. What is the cycle time?
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Consider a periodic review system, where orders are placed every 20 days. The firm strives to provide a 94.41% cycle service level. Demand averages 415 units per day, and the standard deviation of demand per day is 105 units. Lead time is 12 days (round Z-values, standard deviations to two decimal places). Question content area bottom Part 1 a. How many units of safety stock should be held? enter your response here units (round your response to the nearest integer). b. What should the target inventory level (order-up-to level) be? enter your response here units (round your response to the nearest integer). c. Suppose that it is time to review the item. There are 152 units in inventory, and there is an outstanding backorder for 455 units. An order for 129 units is on the way. How many units should be ordered now? enter your response here units (round your response to the nearest integer).
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