What is the annual inventory holding cost

Reference no: EM13292217

Ross White's machine shop uses 2,500 brackets during the course of a year, and this usage is relatively constant throughtout the year. These brackets are purchased from a supplier 100 miles away for $15 each, and the lead tie is 2 days. The holding cost per bracket per is 1,50 ( or 10% of the unit cost) adn the ordering cost per order is $18.75.

There are 250 working days per year.

A) What is EOQ?
B) Given the EOQ,what is the average inventory?
What is the annual inventory holding cost?
C) In minimizing cost,how many orders would be made each year? What would be the annual ordring cost?
D) Given the EOQ, What is the total annual inventory cost (including purchase cost)?
E) What is the time between orders?
F) What is ROP?

Reference no: EM13292217

Questions Cloud

Online marketing has become very robust : Online marketing has become very robust in that online information on the web can now be customized based on the interests of the users. For example, in Google, a consumer that searches for yoga?

Potential adverse effects : Examine the extent to which the two (2) similar companies you researched have addressed the key issues you selected. Hypothesize two (2) potential positive outcomes for each company if each addresses the key issues in question and two (2) pote..

Calculate the magnitude of the line voltage at the terminals : when the load is removed from the generatorthe magnitude of the terminal voltage is 34500V. the generator feeds a delta-connected load through a transmission line with an impedence of 0.8+j6.4. the per-phase impedence of the load is2877-j864.

Determine the new capacitance : two sheets of aluminum foil have a separation of 1.20mm a capacitance of 9.7pF and are charged to 13.0v, the separation is now decreased by 0.10mm with the charge held constant. Find the new capacitance

What is the annual inventory holding cost : Ross White's machine shop uses 2,500 brackets during the course of a year, and this usage is relatively constant throughtout the year. These brackets are purchased from a supplier 100 miles away for $15 each.

Particular relationship applies to that pair of entities : Describe some typical pairs of entities that you think might be common in business, and describe their relationships, whether many-to-many, one-to-many, many-to-one, or one-to-one. Explain why you think that a particular relationship applies to that ..

Determine what bcd code appears on the outputs : A priority decimal-to-BCD encoder has active-LOW inputs andoutputs. If there are LOWs only on decimal inputs 2, 5, and 8, what BCD code appears on the outputs

Determine the speed of each object : two objects m1=5.10 kg and m2=3.25 kg connected by light spring passing over a light frictionless pulley. determine the speed of each object when the two pass each other

Evaluate the accuracy of each of these methods : Sales of industrial vaccum cleaners at R. Lowenthal supply Co. over the past 13months are as follows: Sales ( $1,000s)/ month 11- Jan. 14- Feb. 16- march 10-april 15-may 17-june 11-july 14-august 17-sept. 12-oct. 14-nov. 16-dec. 11-jan.

User Account

All Pages