S Airlines has its engine assembly plant in Hoboken and its drone assembly plant in Pennsylvania. Engines are transported between the two plants using trucks, with each trip costing $1,400. The drone plant assembles and sells 600 drones each day. Each engine costs $45, and S Airlines incurs a holding cost of 10% per year. Assume the plant runs 365 days per year.

1. Fill in the following numerical values on the Class Exercise template:

D = Annual Demand = 600 * 365 = 219,000

C = Unit cost

h = holding cost fraction

S = fixed (transportation) cost per order

2. Calculate the EOQ using Excel

3. Calculate the cycle inventory

4. Fill in the table showing Annual Order Cost, Annual Holding Cost, and Total Cost (their sum) for the indicated order sizes.

S Airlines has its engine assembly plant in Hoboken and its drone assembly plant in Pennsylvania. Engines are transported between the two plants using trucks, with each trip costing $1,400. The drone plant assembles and sells 600 drones each day. Each engine costs $45, and S Airlines incurs a holding cost of 10% per year. Assume the plant runs 365 days per year. 1. Fill in the following numerical values on the Class Exercise template: D= Annual Demand =600365=219,000 C= Unit cost h= holding cost fraction S= fixed (transportation) cost per order 2. Calculate the EOQ using Excel formula =Q=hC2DS 3. Calculate the cycle inventory 4. Fill in the table showing Annual Order Cost, Annual Holding Cost, and Total Cost (their sum) for the indicated order sizes. 1. Fill in this info: 8 D \begin{tabular}{|l|} \hline \\ \hline \\ \hline \end{tabular} C h s 2. Calculate the EOQ Calculate with Excel. 3. What is the cycle inventory of engines at Harley? 4. Fill in the table below. Formula: Total Cost =((D/Q)S)+((Q/2)hC) [ order cost + holding cost] \begin{tabular}{|c|c|c|c|} \hline Order size & Annual Order Cost & Annual Holding Cost & Total Cost \\ \hline 10900 & & & \\ \hline 11000 & & & \\ \hline 11100 & & & \\ \hline 11200 & & & \\ \hline 11300 & & & \\ \hline 11400 & & & \\ \hline 11500 & & & \\ \hline 11600 & & & \\ \hline 11700 & & & \\ \hline 11800 & & & \\ \hline 11900 & & & \\ \hline 12000 & & & \\ \hline 12100 & & & \\ \hline 12200 & & & \\ \hline 12300 & & & \\ \hline 12400 & & & \\ \hline \end{tabular}