Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Silverpro wants to determine the order quantity for an electronic component. Forecasted annual demand is 1,000 chips. The cost associated with placing and receiving each
Silverpro wants to determine the order quantity for an electronic component. Forecasted annual demand is 1,000 chips. The cost associated with placing and receiving each order is $9. Carrying cost is estimated as $2 per unit per year. Lead time is 2 weeks. Number of weeks per year is 52. 2DS Qopt H Total Cost = THC + TOC = {H + s ROP = d x LT Approximate to one decimal place when needed. a. What is the EOQ? = units b. What is the total annual inventory cost? Total Cost = THC + TOC = + $ C. What is the maximum inventory level? units d. What is the average inventory level? units e. What is the minimum inventory level? units f. How many orders are there per year? orders g. What is the length of each order cycle (in weeks)? weeks h. What is the reorder point? units Silverpro wants to determine the order quantity for an electronic component. Forecasted annual demand is 1,000 chips. The cost associated with placing and receiving each order is $9. Carrying cost is estimated as $2 per unit per year. Lead time is 2 weeks. Number of weeks per year is 52. 2DS Qopt H Total Cost = THC + TOC = {H + s ROP = d x LT Approximate to one decimal place when needed. a. What is the EOQ? = units b. What is the total annual inventory cost? Total Cost = THC + TOC = + $ C. What is the maximum inventory level? units d. What is the average inventory level? units e. What is the minimum inventory level? units f. How many orders are there per year? orders g. What is the length of each order cycle (in weeks)? weeks h. What is the reorder point? units
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started