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Please show clearly how to calculate each part a,b,c,d,e,f,g with provided formula as I need to do in excel. Thanks a lot if you could
Please show clearly how to calculate each part a,b,c,d,e,f,g with provided formula as I need to do in excel. Thanks a lot if you could show in excel too.
The Chanikarn Company is the purchasing agent for the Thai Petroleum and Gas (CTPG) Company, which sells industrial valves and uid control devices. One of CTPG's most popular valves is the Asian, which has an annual demand of 4,200 units. Each valve costs $92.5, and the inventory carrying cost is $12. The Chanikarn Company has studied the costs of placing an order for any of the valves that CTPG stocks. Also, they have concluded that the average ordering cost is $28.5 per order. Moreover, it takes about 6 working days for an order to arrive from the supplier. Assuming 256 working days per year. (a) What is the economic order quantity? (3 Marks) (b) What is the average inventory if the economic order quantity is used? (3 Marks) (0) What is the optimal number of orders per year? (2 Marks) (d) What is the optimal number of days between any two orders? (2 Marks) (e) What is the total annual inventory cost? (3 Marks) (1) What is the reorder point? (2 Marks) (g) If The Chanikarn Company has a variety of valves series in the inventory, use ABC Analysis to analyze these items below (5 Marks): (1) Item (2) (3) (4) Unit (5) (6) Percent Class (7) Class Stock Percent Annual Cost Annual of Annual Number of Volume Dollar Dollar Number (Units) Volume Volume of Items Stocked () #valve115 500 $144.10 #valve137 1,200 $2.42 #valve 108 350 $42.56 #valve147 2,000 $1.60 #valve 108 350 $42.56 #valve127 1,550 $18.00 #valve152 600 $15.17 #valve 102 1,000 $92.50 #valve572 250 $1.30 #valve036 100 $8.65 #valve 159 3,500 $4.12Step by Step Solution
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