Question
Annual demand for a particular halogen bulb is 7500 at a business that operates 300 days per year. The cost per order $ 210 and
Annual demand for a particular halogen bulb is 7500 at a business that operates 300 days per year. The cost per order $210 and the holding cost per unit per year is $4.8. The stockout cost is $30/unit. The lead time is 20 days, and demand during lead time follows the empirical distribution given in the following table.
What is the number of inventory cycles, i.e. number of orders, in a year? Round to a whole number. What is the average demand during lead time? Round to a whole number. What is the annual holding cost associated with a safety stock of 150? Round to a whole number. What is the service level with a safety stock of 150? Round the percentage to a whole number. What is the reorder point with a safety stock of 150? Round to a whole number. What is the average stockout per inventory cycle with a safety stock of 150? Round to a whole number. What is the stockout cost associated with a safety stock of 150 per inventory cycle? Round to a whole number. What is the annual stockout cost associated with a safety stock of 150? Round to a whole number.
\begin{tabular}{|c|c|} \hline Number of Units & Probability \\ \hline \hline 275 & 0.05 \\ \hline \hline 350 & 0.1 \\ \hline \hline 425 & 0.2 \\ \hline \hline 500 & 0.3 \\ \hline 575 & 0.2 \\ \hline \hline 650 & 0.1 \\ \hline 725 & 0.05 \\ \hline \end{tabular}Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started