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i really badly need to know the answer in this question right now. could somebody please help me? Forest Products Corporation manufactures Maquis as one
i really badly need to know the answer in this question right now. could somebody please help me?
Forest Products Corporation manufactures Maquis as one of its agricultural items. The manufacturing process requires several inputs including a nitrogen fixer, NFX. The company uses 39,000 units of NFX per year and orders in economic lot sizes of 2,600 units. The cost to carry a unit of NFX is P24.40. If there is a stockout, a carload of NFX must be purchased at retail from a local supplier. The retail price is P1,650 greater than the price from the regular supplier. Looking at the past order records, it appears that certain safety-stock levels would result in stockouts according to the following schedule: Safety-Stock Probability of Quantity Stockout 0 0.50 150 0.20 175 0.05 250 0.01 Required: What level of safety stock would result in the least cost to the company? A company uses 15.00 units of Zeron per ye Forest Products Corporation manufactures Maquis as one of its agricultural items. The manufacturing process requires several inputs including a nitrogen fixer, NFX. The company uses 39,000 units of NFX per year and orders in economic lot sizes of 2,600 units. The cost to carry a unit of NFX is P24.40. If there is a stockout, a carload of NFX must be purchased at retail from a local supplier. The retail price is P1,650 greater than the price from the regular supplier. Looking at the past order records, it appears that certain safety-stock levels would result in stockouts according to the following schedule: Safety-Stock Probability of Quantity Stockout 0 0.50 150 0.20 175 0.05 250 0.01 Required: What level of safety stock would result in the least cost to the company? A company uses 15.00 units of Zeron per yeStep by Step Solution
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