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.Programme Options..................; Signature ......... min Company Limited is a renowned manufacturer of XYZ vehicles. In 2015, the company induced 200 saloon cars (4 tires per
.Programme Options..................; Signature ......... min Company Limited is a renowned manufacturer of XYZ vehicles. In 2015, the company induced 200 saloon cars (4 tires per car) to meet monthly demand The company buys car tires com Dorah Limited at a cost of GHC 100 per tire. The company's inventory carrying cost 15 estimated to be 10:/ cost per tire and the ordering cost was GHROO per order. Mr. Meshach, the manager of Meshlin Company Limited was often not happy about the 14 days lead time period for the supply of the goods so he called for management to be more strategic in order to avoid stock- out. The company worked for 250 days in year 2015 as a result of some public holidays and weekends. (8 marks) a. Calculate the Economic Order Quantity for tires. (4 marks) b. How many orders did Meshlin Company Limited make in 2015? (4 marks) What was the average annual carrying cost for saloon car tires in 2015? (4 marks) d. What was the re- order point for tires in 2015
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