What is the optimal order quantity

Assignment Help Operation Management
Reference no: EM131019177

Dave engineering company purchases 8000 transistors each year as components in their mini computers. the unit cost of each transistor is $10 and the cost of carrying one transistor in inventory for a year is $3, the ordering cost is $30 per order. what is the optimal order quantity?

Reference no: EM131019177

Questions Cloud

Firm operating cash flow : What was the firm's operating cash flow during 2014?
Define the term activity as used in project management : Define the term activity as used in project management in operations management in the management studies.
Define the term network as used in operations management : Define the term network as used in operations management in management studies of projects
Explain what happens subsequently and why : The energies of these two objects initially have the values indicated; the objects are then brought into thermal contact with each other. Explain what happens subsequently and why, without using the word "temperature."
What is the optimal order quantity : Dave engineering company purchases 8000 transistors each year as components in their mini computers. the unit cost of each transistor is $10 and the cost of carrying one transistor in inventory for a year is $3, the ordering cost is $30 per order. wh..
Comparing human behavior to that of animals : How are Twain's experiments--comparing human behavior to that of animals in various situations-- intended to puncture some illusions the human species has about itself? In what ways do each of twains experiments reveal that other animals are super..
Demand history for past 6 months : DPG Clocks has the following demand history for past 6 months
What is the payback period : This is the only initial cost for the production. Pappy's is in a 30 percent tax bracket and has a required return of 15 percent. What is the payback period? NPV? And IRR?
What is the maximum amount of revenue you can earn : Suppose it is feasible to charge different prices to students and professors for parking permits. If your goal is to maximize revenue from selling parking permits, what is the maximum amount of revenue you can earn through the sales of these parki..

Reviews

Write a Review

Operation Management Questions & Answers

  Effective annual interest rate

What is your effective annual interest rate (an opportunity cost) on the revolving credit arrangement if your firm does not use it during the year?

  Use wertheims structure for case analysis

Write a formal case analysis (5-7 pages) of "The Virgin Group in 2012." Use Wertheim's structure for case analysis. Pay particular attention to the choices of corporate strategy when outlining the causes of any problems identified. Identify creative ..

  Self-image play in buying process-decision making process

What do trends and self-image play in the buying process and decision making process. As a business leader, what are the implications of your experience? What if your business was selling ketchup, what does that mean for you? One last follow-up on et..

  What new ideas and concepts are you taking away

What new ideas and concepts are you taking away from this class after this semester about Global Business

  The employer does not provide attractive opportunities

When an expat employee returns to her or his current employer but the employer does not provide attractive opportunities, she/he often may be hired by a competitor firm. Why

  Can conflict be managed

Leadership and management have been described as two (2) distinct but complimentary organizational systems by John Kotter. Abraham Zalenuk proposed that personalities of leaders and managers stand in contrast to one (1) another; therefore, which w..

  Which station is the bottleneck station

Consider a production line with five stations. Station 1 can produce a unit in 9 minutes. Station 2 can produce a unit in 10 minutes. Station 3 has two identical machines, each of which can process a unit in 12 minutes (each unit only needs to be pro..

  What is the relationship between quality and patient safety

Why do you believe measuring quality has become so important in the health care industry. Provide examples. What is the relationship between quality and patient safety. What is one example you believe shows this relationship effectively. Explain.

  Describe the problems of selection of personal protective

explain the problems of selection of personal protective equipment and the comprehensive requirements that must be met

  Interface with the organizations general ledger system

You were hired as an analyst to develop a new information system to automate the payroll transactions in a mid-size organization. The proposed system will contain employees’ data and interface with the organization’s General Ledger system (GL).

  Each event averages four hours, and assume the stadium

Each event averages four hours, and assume the stadium is full for each event. The stadium is available 365 days a year from 6 a.m. to midnight

  Monthly demand for an inventory item currently averages

Monthly demand for an inventory item currently averages 170 units. The annual carrying cost is $10 per unit. Ordering cost is $70 per order. This information applies to all of the questions on this page.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd