Consider a company facing a demand pattern and costs as follows:

Month Sequential Number Requirements (Units)

January 1 20 February 2 40 March 3 110 April 4 120 May 5 60 June 6 30 July 7 20 August 8 30 September 9 80 October 10 120 November 11 130 December 12 40 Total 800 A $25.00 r (per month) 0.05$/$ (carrying costs are very high in this industry)

v $4.00 Using a “3-month” decision rule, the replenishment schedule and associated costs are as follows:

Month 1 2 3 4 5 6 7 8 9 10 11 12 Total Starting inventory 0 150 110 0 90 30 0 110 80 0 170 40 Replenishment 170 0 0 210 0 0 130 0 0 290 0 0 800 Requirements 20 40 110 120 60 30 20 30 80 120 130 40 800 Ending inventory 150 110 0 90 30 0 110 80 0 170 40 0 780

a. Construct a replenishment schedule and calculate the associated costs using the fixed EOQ method.

b. Repeat using the Wagner–Whitin algorithm.

c. Repeat using the Silver–Meal heuristic.

d. Repeat using the LUC method.

e. Repeat using the PPB method.

f. Repeat using the POQ method.