Suggest more economical purchase policy for the company

Assignment Help Operation Management

Reference no: EM131147721

A manufacturing company purchase 9000 parts of a machine for its annual requirements ordering for month usage at a time, each part costs Rs. 20. The ordering cost per order is Rs.15 and carrying charges are 15% of the average inventory per year. You have been assigned to suggest a more economical purchase policy for the company. What advice you offer and how much would it save the company per year?

Reference no: EM131147721

Questions Cloud

Make portfolio both delta and vega neutral : The investor wants to make his portfolio both delta and vega neutral.- Suppose that he wants to use another option to achieve the objectives and suppose that this option has a delta of 0.9 and vega of 1.

Course of creating customer intimacy and loyalty : Dirt Bikes’ management believes that the company could benefit from e-commerce. The company sells motorcycles and parts primarily through authorized dealers. It also advertises in various magazines catering to dirt bike enthusiasts and maintains boot..

Graph the company selected financial data : Create a 10-slide Microsoft PowerPoint presentation including detailed speaker notes in which you include the following: Graph the company's selected financial data. Explain the role of standard deviation in financial analysis

Choose a business situation : choose a business situation for which the analysis of the Sleeping Beauty bonds is relevant.- Use this to define your perspective, presentation, recommendations, etc. and write a professional document.

Suggest more economical purchase policy for the company : A manufacturing company purchase 9000 parts of a machine for its annual requirements ordering for month usage at a time, each part costs Rs. 20. The ordering cost per order is Rs.15 and carrying charges are 15% of the average inventory per year. You ..

Create a tax advantage through the different tax treatments : The essay should show an understanding of basic strategies which create a tax advantage through the different tax treatments of interest and dividends especially the term "double non-taxation".

Calculate the equilibrium price and the equilibrium quantity : Calculate the equilibrium price and the equilibrium quantity.

What is the proper ratio for the orifice : We wish to meter the flow with a thin-plate orifice and a differential pressure transducer that reads best at about 55 kPa. What is the proper ratio for the orifice?

Was top management acting correctly in developing estimates : At this point, what would you do if you were the project manager? Was top management acting correctly in developing an estimate? What estimating techniques should be used for a mission critical project such as this

User Account

All Pages