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Question:
(a) ‘Stock is often said to be the biggest evil in any business, yet firms still keep stocks.' Discuss the reasons for keeping stocks.
(b) Discuss the main costs involved in keeping stocks.
(c ) The demand per month for a spare part is 200 units. The storage space cost per unit per year is Rs20. The cost for ordering the spare part is Rs35 per order. Each unit of the spare part is Rs150 and interest rate is at 10%.
(i) Detrmine the economic order quantity.
(ii) Find the total cost.
(iii) The purchasing manager got an offer of a discounted price of Rs140 per unit if he orders in lot sizes of 600. By performing the necessary calculations indicate whether he should shift to the new policy instead of using the EOQ.
Discuss several advantages of linear programming; clearly explain the reasons for your choices.
A payoff a. is always measured in profit. b. is always measured in cost. c. exists for each pair of decision alternative and state of nature. d. exists for each state of nature.
Race One Motors is an Indonesian car manufacturer. At its largest manufacturing facility, in Jakarta, the company produces subcomponents at a rate of 300 per day, and it uses these
The wtos intl trade statistics is an annual report that provides comprehensive comparable updated statistics on trade in merchandise and commercial services. This report allows for
Given this information: Lead-time demand = 630 pounds Standard deviation of lead time demand = 40 pounds (Assume normality.) Acceptable stockout risk during lead time = 4
Explain a formal or informal mutual agreement. - The mutual agreement may be as given below: (a) Union security. (b) Bonus, wages and other benefits. (c) Terms and con
Process Capability Index - Measure of the Inherent Capability This index provides a measure of the inherent capability of a process by simply relating the 6σ spread of the pro
DISCUSS THE ADVISABILITY OF USING MODULAR ASSEMBLIES IN MANFACTURING
What are the basic controllable variables of a production planning problem? What are the four major costs? Discuss and explain each variable. Discus and explain each cost.
When Scott Tweedy picked up a magazine article on how to manage health care workers, he was pleased to some advice. Scott was concerned about poor or mediocre performance on
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