Goods inventory of small manufacturing company

Assignment Help Operation Management

Reference no: EM131664962

The finished goods inventory of a small manufacturing company is shown below (available in Worksheet IND7 of file Data for Module 7). Perform an ABC analysis on the data (Assign A items to a maximum of 70 % of the cumulative value and B items to a maximum of the next 20% of the cumulative value (a total of 90%).)

a) How many items are assigned as “A” items?

b) How many items are assigned as “B” items?

c) How many items are assigned as “C” items?

d) What assignment was made to the following items: 2456? 5995? 8989? 9034? SKU Code Unit Value Demand (units)

1021 $ 125.00 100

1204 $ 10.00 1,750

1448 $ 12.00 2,000

2144 $ 20.00 200

2282 $ 17.00 330

2456 $ 500.00 675

2698 $ 25.00 85

3129 $ 5.00 2,500

3141 $ 2.00 1,000

3310 $ 1.00 1,500

3312 $ 0.75 625

3712 $ 8.00 200

3943 $ 1.50 125

4351 $ 0.75 410

4682 $ 3.00 700

4683 $ 1.00 1,200

4991 $1,500.00 320

5231 $ 20.00 600

5940 $ 110.00 120

5995 $ 50.00 1,500

6466 $ 0.90 200

6912 $ 8.00 1,200

7006 $ 45.00 1,700

7060 $ 3.00 300

7087 $ 4.00 800

7670 $ 2.00 75

8101 $ 10.00 6,000

8447 $ 7.00 800

8989 $ 6.00 500

9034 $ 4.00 1,500

Reference no: EM131664962

Questions Cloud

Wheat to giant central storage bin within two-week span : The wheat harvesting system in U.S. Midwest is short and most farmers can only deliver truckloads of wheat to giant central storage bin within two-week span.

Explain what a functional strategy : Explain what a functional strategy is and how it can be utilized in various departments within a firm?

Describes a six sourcing strategies : Describes a Six Sourcing Strategies, its pros and cons, and how to properly apply it to the type you bussiness you choose.

What is the appropriate reorder? point : What safety stock level do you recommend for? BX-5? ?What is the appropriate reorder? point?

Goods inventory of small manufacturing company : The finished goods inventory of a small manufacturing company is shown below. How many items are assigned as “C” items?

What is the optimal economic production quantity : What is the optimal economic production quantity? On average, how many setups are required per year?

What is the annual ordering cost for the current supplier : What is the annual ordering cost for the current supplier? What is the holding cost per unit per year for the current supplier?

Optimal number of warehouse employees to staff the warehouse : What is the optimal number of warehouse employees to staff the warehouse?

What is annual ordering cost if optimal ordering quantity : What is the annual ordering cost if the optimal ordering quantity is 75?

User Account

All Pages