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1. part (b) letter (d) 30.56 is wrong Custom Computers. Inc. assembles custom home computer systems. The heat sinks needed are bought for $12 each
1. part (b) letter (d) 30.56 is wrong
Custom Computers. Inc. assembles custom home computer systems. The heat sinks needed are bought for $12 each and are ordered in quantities of 1,430 units. Annual demand is 5,720 heat sinks' the annual inventory holding cost rate is $4 per unit, and the cost to place an order is estimated to be $52. (6:) Your Answer CorrectAnswer V Your answer is correct. Calculate the following: (a) Average inventory level 715 units (bl The number oforders placed per year 4 orders (c) Thr total annual inventory holding cost $ 2860 (d) The total annual ordering cost$ 208 (e) The total annual cost $ 3068 Custom Computers is considering a new ordering policy. The new order quantity would be 990 heat sinks. Calculate the following for new order quantity. (a) Average inventory level 495 units. (b) The number of orders placed per year {Round your answer to 2 decimal places, e3.,50.12) 5.78 orders. (c) The total annual inventory holding cost $ 1980 {d} The total annual ordering cost (Round youranswer to 2 decimal places, 8.3.5012) $ (e) The total annual cost (Round your answer to 2 decimal places, eg.,50.12l $ 2280.56 Save for Later Attempts: 1 of 3 used (C) The parts of this question must be completed in order. This part will be available when you complete the part above. A local nursery, Greens, uses 1.840 bags of plant food annually. Greens works 52 weeks per year. It costs $12 to place an order for plant food. The annual holding cost rate is $7 per bag. Lead time is one week. V Your answer is correct. Calculate the economic order quantity. (Round your answer to 1 decimal place, 23.50.21 Economic order quantity = 794 units (c) Determine the reorder point (Round your answer to 1 decimal place, e.g.,50.2) Reorder point = unitsStep by Step Solution
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