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solve all questions please Question 2 (4 Marks) (a) CFR Manufacturing has estimated its economic order quantity for its raw materials at 2,400 units for

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Question 2 (4 Marks) (a) CFR Manufacturing has estimated its economic order quantity for its raw materials at 2,400 units for the coming year. If ordering costs are Rs.200 per order and carrying (holding) costs are Rs.4. per unit per year, what is the estimated total annual usage? [2 Marks] (b) [This question is not related to part (a) above). If EOQ of a company is 1,000 units, holding cost per unit per year is Rs.10. What is total ordering cost? [2 marks] Question 3 (2 Marks) POMA annually consumes 10,000 units of component P. The carrying cost of this component is Rs.2 per unit per year and the ordering costs are Rs. 100 per order. POMA uses an order quantity of 500 units. The company operates 200 days per year, and the lead time for ordering component Pis 7 days. What is the re-order point (in terms of units)? Question 4 (5 Marks) A bakery buys flour in 20-KG bags. The bakery uses 1,700 bags a year. Ordering cost is Rs.10 per order. Annual carrying cost is Rs.75 per bag, a. Determine the economic order quantity [2 marks] b. What is the average number of bags on hand? [1 mark] C. How many orders per year will there be? [1 mark] d. Compute the total cost of ordering and carrying flour. [1 Mark]

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