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MAE 476 Supply Chalu Walmart expects to carry an average monthly inventory of food items in 100,000 cases, each case is valued at $32. Calculate

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MAE 476 Supply Chalu Walmart expects to carry an average monthly inventory of food items in 100,000 cases, each case is valued at $32. Calculate the following Chapter 9a Calculations 1. a. Total value; b. Yearly inventory carrying cost (based on 25%): 2. If the average monthly inventory of food items increased to 150,000 cases, calculate the following a. b. c. Total value: Yearly inventory carrying cost (based on 25%):- What is the increase in yearly inventory carrying cost as compared to having 100,000 cases: 3. The Dominic corporation currently produces a product that has a value of $20,000 ea. producing 480 units a year. This item is seasonal, inventory is kept only 4 months out of each year. Calculate the following: a. Total value of inventory: b. Yearly inventory carrying cost (based on 25%):- . The Dominic corporation has decided to produce 620 units a year and hold inventory for a total of 75 days. Calculate the following: 4. Total value of inventory: a. b. - Yearly inventory carrying cost (based on 25%): 5. Boston bearing corporation currently ships a lot size of 500 bearings each costing $67 each. The company is trying to decide on the best method for shipping the product and is comparing shipping options: a. Current transportation mode includes: i. Motor carrier drayage: $150 (1 day) ii. Rail transportation: $430 (14 days) ili. Motor carrier drayage: $150 (2 days) b. What is the current cost for shipping the product: How long does it take to ship the product: What is the cost for holding the inventory during the shipping period (base on 25%): What is the overall cost of shipping the product using this method: c. d. e. 6. A new proposal is being made for the items to be shipped (air), the following cost are to be used: i. Motor carrier drayage: $150 (1 day) ii. Air transportation: $1,250 (2 days) ii. Motor carrier drayage: $150 (1 day) b. What is the expected cost for shipping the product: c. How long does it take to ship the product: d. What is the cost for holding the inventory during the shipping period (base on 25%). e. What is the overall cost of shipping the product using this method: 7. When comparing these two methods based on cost, which method would be best: 8. If you were trying to convince upper management that air would be a better choice based on other factors besides costs, list three of these reasons below: a. b. C. 1/24/2019

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