User Account

All Pages

Explain the annual inventory cost

Assignment Help Business Management
Reference no: EM133087045

Traphaco ltd. purchases an important component from one of its key suppliers. The operations manager wants to determine the economic order quantity, along with when to reorder, to ensure the annual inventory cost is minimized. The following information was obtained from historical data given below:

Total pallets

500

Units per pallet

20

Unit price

35

Inventory carry cost

10%

Cost to replenish inventory

2000

Lead Time

5

Use the formula sheet below to calculate (to the nearest whole number) the following:

Q1. Economic Order Quantity (EOQ): 

Q2. Inventory Turnover (IT): 

Q3. Days Sales of Inventory (DSI): 

Q4. Total Annual Cost (TAC): 

Q5. Reorder Point (RoP):

Reference no: EM133087045

Questions Cloud

Validity and reliability of instrument : If you tested for validity and reliability of your instrument and found that the indices or values are lower than the minimum, what will you do next?
Refuse to close the contract : You are closing out a contract where the contractor is unable to submit supporting indirect cost data. What is your likely recourse?
Effective communication in the workplace : List three (3) barriers to effective communication in the workplace.
Pieces of legislation impacting on agency operations : You are working at Phantom Realty. Your manager asks you to write a report on the agency to be published in the weekly REIWA newsletter.
Explain the annual inventory cost : Traphaco ltd. purchases an important component from one of its key suppliers. The operations manager wants to determine the economic order quantity, along with
Advantages and disadvantages of using digital marketing : A. Being a marketing consultant ,What marketing strategy will you suggest to the company to boost the sales of your company? Explain.
Explain profile statement and career objective : What is the difference between a Profile Statement and a Career Objective?
Elements of a person strategic advantage : What is meant by your "Strategic Advantage", what are the 5 elements of a person's "Strategic Advantage", and what is YOUR specific Strategic Advantage?
What is your organization most concerned about : What is your organization most concerned about? How does it work? How does it benefit the different countries?

Reviews

Write a Review

Business Management Questions & Answers

  Health care using strategic management principles

Illustrate how you would analyze at least three problems and formulate solutions in health care using strategic management principles.

  Describe the downside of working with a supplier

Describe the downside of working with a supplier exposed as having used unethical practices. How does this potentially damage a firm?

  Determine the annual production capacity of the plant

Determine the annual production capacity of this plant. (b) If the plant were to operate three 8-hour shifts per day, 7 days per week, 52 weeks per year, determine the annual percentage increase in plant capacity?

  Can they move back and forth between the two groups

What does this concept relate to? Do employees choose which group they want to be part of? Can they move back and forth between the two groups?

  First and last impressions so important

In essay writing, why are first and last impressions so important? Also what are some specific techniques you can use in an introduction to grab a reader's atte

  Write a power point presentation on how to make an origami

write a power point presentation on how to make an origami flapping bird a few visual will help as well as making

  Challenge of standardizing employee hiring

Explain how are these management challenges similar to challenges encountered by organizations that accommodate employee diversity.

  Involved in managing a small business

Describe the functions and activities involved in managing a small business.

  Evaluate the new debeers strategy

Evaluate the new DeBeers strategy mentioned in the case. How does it address the forces pressing DeBeers to change its traditions?

  Communications have been influenced by the presence

Give an example in your own community where communications have been influenced by the presence of politics. Explain their impact.

  Describe what actions the supplier should

Describe what actions the supplier should have taken to keep you informed.

  Develop the management-research question hierarchy

Develop the management-research question hierarchy citing managementdilemma, management question, research question(s), and 3 investigative questions for the fo

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd