Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You have the following data: Ordering cost, $300/order; Carrying cost, $10/year; Demand rate, 20 units/day; Production rate, 70 units/day; Supply lead time, 10 weeks; Safety

You have the following data: Ordering cost, $300/order; Carrying cost, $10/year; Demand rate, 20 units/day; Production rate, 70 units/day; Supply lead time, 10 weeks; Safety stock, 120 units; Stock on-hand, 300 units; Total open orders, 900 units. With this information, answer the following (Value: 20 points): 1) anual ordering cost (4 points) 2) anual carrying cost (4 points) 3) total cost (4 points) 4) should a new order be placed? yes, no, and why (4 points) 5) if yes, what is the amount of units that should be ordered? (4 points)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Supervision Today

Authors: Stephen P. Robbins, David A. DeCenzo, Robert M. Wolter

8th edition

133884869, 133884864, 978-0133884869

More Books

Students also viewed these General Management questions