Reference no: EM13905456
Suppose that you are the manager of a production department that uses 400 boxes of rivets per year. The supplier quotes you a price of $8.50 per box for an order size of 199 boxes or less, a price of $8.00 per box for orders of 200 to 999 boxes, and a price of $7.50 per box for an order of 1,000 or more boxes. You assign a holding cost of 20 percent of the price to this inventory. What order quantity would you use if the objective is to minimize total annual costs of holding, purchasing, and ordering?
a. Assume ordering cost is $80/order.
b. At Q=200, what is the carrying cost?
The manager of the Quick Stop convenience store (which never closes) sells 24 six packs of Fizzy soda each day. Order costs are $8.00 per order, and Fizzy soda costs $4.00 per six-pack. Holding costs are $1 per six pack. Orders arrive five days from the time they are placed.
If lead time is constant and demand is normally distributed with a standard deviation of 5 six packs, what safety stock should Quick Stop carry for a 99% service level (round to nearest whole number)? Round to the nearest whole number.
a. If demand is constant and lead time is normally distributed with a standard deviation of 2 days, what safety stock should Quick Stop carry for a 95% service level (round to the nearest whole number)?
b. If demand varies with a standard deviation of 5 six packs and lead time varies with a standard deviation of 2 days and the Quick Stop carries safety stock for a 98% service level, what is the reorder point (round to the nearest whole number)?
|
About the the dream act
: Introduce the Dream Act. Background information/details surrounding the Dream Act. detailed discussion of opposing positions (why some people against the Dream Act.) Provide supporting information for opposing positions
|
|
What is performance gap and opportunity gap
: What is a performance gap? What approach would you take to closing a performance gap? What is an opportunity gap? How would you use strategy to close an opportunity gap?
|
|
Pugh matrix and identify the optimal design option
: Amazon has asked you to come up with a design for their drone delivery system. You have three designs to choose from. The weight the drone can carry and cost are equally important but the time it takes is less important and the distance it can carry ..
|
|
Which elements of a system are the easiest to monitor
: Which elements of a system are the easiest to monitor?
|
|
Distributed with a standard deviation
: Suppose that you are the manager of a production department that uses 400 boxes of rivets per year. If demand is constant and lead time is normally distributed with a standard deviation of 2 days, what safety stock should Quick Stop carry for a 95% s..
|
|
Small business selling lawn mowers has decided to forecast
: A small business selling lawn mowers has decided to forecast. Their biggest revenue mower sold 15 units in February, 24 units in March and 28 units in April. Using a three month average, what would they forecast for April? (2 decimal places) A distri..
|
|
Designed to provide healthcare to specific population
: Medicare was designed to provide healthcare to a specific population at a time when many of the elderly seemed unable to afford healthcare. Does the above statement remain true today, especially with many people staying in the workplace long after wh..
|
|
Handled by services in the neighboring community
: The metropolis ambulance corporation owns 5 ambulances and services a portion of the metropolis area. on average, emergencies are reported every 20 minutes (the time between emergencies is exponentially distributed). What fraction of the emergencies ..
|
|
Solve for all symmetric nash equilibria
: A team working on a project consists of n individuals. Each individual must choose effort e ∈ {0, 1}, where choosing 0 is costless and 1 costs c > 0. The project succeeds only all n members exert effort. Formulate this as a strategic game and solve f..
|