Firm uses the continuous review system

Assignment Help Operation Management

Reference no: EM131793210

A store has collected the following info on one of its smart phones:

Demand: 10,000 phones/yr

Standard deviation of weekly demand: 25 phones

Ordering costs: $30/order

Holding costs: $4/phone/year

Cycle-service level = 96%

Lead-time: 2 weeks

Number of weeks per year = 50 weeks

1. If a firm uses the continuous review system (Q system) to control the inventory, what is the economic order quantity?

2. What is the total annual cost for this for this replenishment policy?

3. What is the reorder point and safety stock?

Reference no: EM131793210

Questions Cloud

What functions does organizational culture serve in wal-mart : Organizational culture is important for US based company to operate in Saudi Arabia. What functions does organizational culture serve in Wal-Mart Stores Inc.

Describe how the is changed the business : Describe the business processes it addresses and impacts. Describe how the IS changed the business.

Which culture influences the leadership process : List and explain four ways in which culture influences the leadership process.

The goal of employment planning : This is the goal of employment planning.

Firm uses the continuous review system : If a firm uses the continuous review system (Q system) to control the inventory, what is the economic order quantity?

Can april prevail once again in her discrimination claim : April applies for a job as a paralegal at a law firm, Can April prevail once again in her discrimination claim?

What are other methods of continual improvement : What are other methods of continual improvement?

Market that matches monopolistic competition : Please pick a market that Matches Monopolistic Competition

Alex files complaint of race discrimination with the EEOC : Alexander is a a black man with a law degree from one of the top law schools in the country. Alex files a complaint of race discrimination with the EEOC.

User Account

All Pages