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The optimum number of ordering. The total cost of inventories per year. The optimal number of production runs (orders) per year. The optimum cycle times.
- The optimum number of ordering.
- The total cost of inventories per year.
- The optimal number of production runs (orders) per year.
- The optimum cycle times.
- The length of time to receive orders.
- The maximum inventory levels.
- The reorder points.
(2 MARK)
A. Yummylicious Sdn Bhd manufactures tomato ketchup for local and international market. The company produces about 1000 bottles of tomato ketchup per hour and operates in two shifts per day. The continuous production must be operated to fulfil the high demand from both local and international market approximately 140,000 bottles per week and runs 49 weeks in a year. Once order take place in the MRP system, the delivery will be shipped in two weeks with a $380 per order. Meantime, the undelivered bottles must be inventoried in the warehouse with a cost of $1.50 per bottle. The enterprise is willing to come up with a safety stock of 7% for any circumstances by having a standard deviation of a dozen bottle. Based on the above statement, answer all the following questions: 1) The optimum number of ordering. (3 MARKS) 2) The total cost of inventories per year. (2 MARKS) A. Yummylicious Sdn Bhd manufactures tomato ketchup for local and international market. The company produces about 1000 bottles of tomato ketchup per hour and operates in two shifts per day. The continuous production must be operated to fulfil the high demand from both local and international market approximately 140,000 bottles per week and runs 49 weeks in a year. Once order take place in the MRP system, the delivery will be shipped in two weeks with a $380 per order. Meantime, the undelivered bottles must be inventoried in the warehouse with a cost of $1.50 per bottle. The enterprise is willing to come up with a safety stock of 7% for any circumstances by having a standard deviation of a dozen bottle. Based on the above statement, answer all the following questions: 1) The optimum number of ordering. (3 MARKS) 2) The total cost of inventories per year. (2 MARKS)
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