Electronics company has two contract manufacturers in asia

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Reference no: EM131808225

An electronics company has two contract manufacturers in Asia: Foxconn assembles its tablets and Flextronics assembles its laptops. Monthly demand for tablets is 10,000 units, whereas that for laptops is 4,000. Tablets cost the company $100, laptops cost $400, and the company has a holding cost of 25 percent. Currently the company has to place separate orders with Foxconn and Flextronics and receives separate shipments. The fixed cost of each shipment is $10,000. For all questions that follow, round your answers to two (2) decimal places.

A. What is the optimal order size with Foxconn?

B. What is the optimal order size with Flextronics?

C. What is the length of order cycle in days with Foxconn?

D. What is the length of order cycle in weeks with Flextronics?

Reference no: EM131808225

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