Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Give correct answer with detailed explanation........................... A Mobile shop sells 5000 mobiles in a year and the sales is relatively constant throughout the year. These

Give correct answer with detailed explanation...........................

A Mobile shop sells 5000 mobiles in a year and the sales is relatively constant throughout the year. These mobiles are purchased for SR 150.00 each, and the lead time is two days. The holding cost per mobile per year is 6% of the unit cost and the ordering cost per order is SR 37.50. There are 250 working days per year. Calculate the following:

(i) What is the annual holding cost?

(ii) In minimizing the cost, how many orders would be made each year?

(iii) Given the EOQ, what is the total annual inventory cost (including purchase cost)?

(iv) What is the time between orders?

(v) What is the ROP?

Attention!!: Please make sure you answer this question by written by keyboard, I don't Like paper because it's not clear for me

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Economy Of Cities

Authors: Jane Jacobs

1st Edition

039470584X, 9780394705842

More Books

Students also viewed these Economics questions

Question

e. What age client does the person see?

Answered: 1 week ago