Large appliance warehouse consistently sells

Assignment Help Operation Management

Reference no: EM132256993

Assume that a large appliance warehouse consistently sells about 5000 products (e.g., toasters, televisions, refrigerators, etc.) per year. Also assume that each product has an annual holding cost of $5 and every time the warehouse places an order for more products, a $100 setup/ordering cost is incurred. Calculate the Economic Order Quantity, determine the expected number of orders per year and determine IC, the total inventory cost per year. Also calculate the Re-Order Point assuming a five-day lead time for deliveries and that the warehouse is open 250 days annually.

Reference no: EM132256993

Questions Cloud

What are intermediaries and why are they important : What are intermediaries and why are they important? What pricing strategies would you consider to price a new product or service?

What is marketing channel : What is a marketing channel? What decisions do companies face in designing, managing, evaluating and modifying their channels?

What is the gross domestic product : What is the gross domestic product? What is unemployment? Why can't it be driven down to zero?

Calculate the EOQ and the number of annual deliveries : How much gasoline does the gas station sell annually? Calculate the EOQ and the number of annual deliveries.

Large appliance warehouse consistently sells : Assume that a large appliance warehouse consistently sells about 5000 products per year.

Case analysis on any publicly traded company : Write a case analysis on any publicly traded company. Stick to the rubric. Follow the format/structure.

What are the various responses to competitor price change : What are the various responses to a competitor's price change. What are three critical supply chain challenges facing U.S. government prime contractors?

Consumer protection acts : What would a plaintiff need to prove in order to bring a product liability claim? choose one of the Consumer Protection Acts that were noted in your text.

Practice operations management module : PRACTICE OPERATIONS MANAGEMENT MODULE. What are the steps required for the production of socks? What step is the bottleneck for the sock process?

User Account

All Pages