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a ) ( 1 0 marks ) Draw the inventory level of the following cases. CGHL orders 5 0 cases of yogurt whenever there are
a marks Draw the inventory level of the following cases.
CGHL orders cases of yogurt whenever there are only cases left in stock. CGHL can receive their order after days.
CGHL orders ice cream every Monday. The freezer can store boxes per time but CGHL orders up to only of freezer capacity to lengthen its lifespan.
CGHL receives liter of fresh milk every day. Milk unsold at the end of the day is discounted for the yogurt supplier.
b marks Safety stock of yogurt, ice cream, fresh milk is cases, boxes and liter respectively. Calculate the average inventory level and maximum inventory level.
c marks Based on the data and forecast below, advice whether CGHLs current milk inventory policy is optimal.
Ordering cost
$ order
Demand bottles per day
Probability
Transportation cost
$ shipment
Unit Cost
$ liter
Retail price
$ bottle of ml
Salvage value
$ liter unsold
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