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Q. The metropolitan book company assumed with certain that the ordering cost is $1200 per order as well as the inventory carrying cost is $0.08 per unit per year. However, the inventory model parameters are frequently only estimates that are subject to some degree of uncertainty. Calculate the optimal order quantity ifboth ordering costs as well as carrying cost are 10% lower than originally estimated. (b) both ordering cost as well as carrying cost are 10% higher than originally estimated, (c) ordering cost is 10% higher as well as carrying cost is 10% lower than originally estimated, (d) ordering cost is 10% lower as well as carrying cost is 10% higher than originally estimated. Determine the optimal order quantity as well as total inventory cost for each of the four cases. Prepare a table with values from all four cases as well as compare the sensitivity of the model solution to changes in parameter values.
Using Excel, Determine the following:Hayes Electronics assumes with certainty that the ordering cost is $450 per order as well as the inventory carrying cost is $170 per unit per year. However, the inventory model parameters are frequently only estimates that are subject to some degree of uncertainty. Consider four cases of variation in the model parameters as follows:
(a) both ordering cost as well as carrying cost is 10% lower than originally estimated.
(b) both ordering cost as well as carrying cost are 10% higher than originally estimated,
(c) ordering cost is 10% higher as well as carrying cost is 10% lower than originally estimated, (d) ordering cost is 10% lower as well as carrying cost is 10% higher than originally estimated. Determine the optimal order quantity as well as total inventory cost for each of the four cases. Prepare a table with values from all four cases as well as compare the sensitivity of the model solution to changes in parameter values.
In the country of Sildavia, a market basket of goods and services cost $ 130 in 2003, $ 140 in 2004, and $160 in 2005. Based on this information and considering 2003 as the base year, inflation from 2003 to 2005.
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