OPERATIONS MANAGEMENT LL W/CONNECT CODE
2nd Edition
ISBN: 9781266520037
Author: CACHON
Publisher: MCG CUSTOM
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Chapter 11, Problem 8PA
a)
Summary Introduction
To determine: The number of boards on order an average.
b)
Summary Introduction
To determine: The number of boards on hand an average.
c)
Summary Introduction
To determine: The total holding cost incurred per week.
d)
Summary Introduction
To determine: The holding cost incurred per board.
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Antique manufactures old-fashioned telephones for use in movie scenes (and other displays). Antique's annual demand for rotary telephones is 33,000 units per year, so it needs just as many receptors to assemble the phones. Receptors are ordered from a supplier, and shipping and handling costs are $15 per order (regardless of how many units are on order). The holding costs are $7/unit/year. If the current company policy calls for orders of 3,000 receptors, what are the total annual inventory costs for the receptors?
round your final answer to the nearest whole dollar.
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…
Yellow Press, Inc., buys paper in 1,500-pound rolls for printing. Annual demand is
3,000
rolls. The cost per roll is
$1,000,
and the annual holding cost is
28
percent of the cost. Each order costs
$75.
Part 2
a. How many rolls should Yellow Press order at a time?
Yellow Press should order
enter your response here
rolls at a time. (Enter your response rounded to the nearest whole number.)
Part 3
b. What is the time between orders? (Assume
200
workdays per year.)
The time between orders is
enter your response here
days. (Enter your response rounded to one decimal place.)
Chapter 11 Solutions
OPERATIONS MANAGEMENT LL W/CONNECT CODE
Ch. 11 - Prob. 1CQCh. 11 - Prob. 2CQCh. 11 - Prob. 3CQCh. 11 - Prob. 4CQCh. 11 - Prob. 5CQCh. 11 - Prob. 6CQCh. 11 - Prob. 7CQCh. 11 - Prob. 8CQCh. 11 - Prob. 9CQCh. 11 - Prob. 10CQ
Ch. 11 - Prob. 11CQCh. 11 - Prob. 12CQCh. 11 - Prob. 13CQCh. 11 - Over time, consumers have less of a need for a...Ch. 11 - For 10 percent of the products in a category, a...Ch. 11 - Prob. 2PACh. 11 - Prob. 3PACh. 11 - Prob. 4PACh. 11 - Prob. 5PACh. 11 - Anvils Works requires, on average, 2800 tons of...Ch. 11 - Prob. 7PACh. 11 - Prob. 8PACh. 11 - Prob. 1CCh. 11 - Prob. 2CCh. 11 - Rob Honeycutt created Timbuk2 to offer consumers...
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