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EOQ Assignment You are the company's Supply Chain Manager -- solve the below questions to ensure an optimal ord Annual requirements (R) = 18,000 units
EOQ Assignment You are the company's Supply Chain Manager -- solve the below questions to ensure an optimal ord Annual requirements (R) = 18,000 units 16200 Order cost (S) = $68.00 per order Holding rate (k) = 32.0% annually Unit cost (C) = $52.87 per unit Lead time (LT) = 4 lays Number of days per year = 365 days Compute the following : Note: You must include formulas for full credit -- do NOT simply type in answers. Add additional cells if necessary, but label each clearly! 3) EOQ = 380.39 units EOQ (rounded to nearest whole item) 381 units b) total purchase cost = $951,660 :) annual holding cost = $3,22 d) annual order cost = $3,213 e) total annual logistics cost = $6,436 (without purchase cost ) f) reorder point 197.26 units (note : no variability in demand or I g) number of orders placed per year = 7.2 orders h) time between orders = 7.7 days i) plot cost curves -- holding cost, order cost and total cost. Use the layout below the questions , if ne i) If you are required to order by the whole case , at 50-per case , what Q would you recommend k) What is the new Total Annual Logistics Cost of the Whole -Case Q? I) What is the difference in Total Annual Logistics Cost of EOQ and that of the Whole Case Q? m) Given your answer to l above, what does this say about the EOQ Formula? the EOQ formular assumes that the ordering and holdin change 400 units (note : no variability in demand or I 6,444 (suggestion -- you can compute here , or ) S 8.45
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