Explain what is te annual carrying cost, Operation Management

Assignment Help:

Uick cheif cookers sell at an average [ace of 12500 per month. Each cooker costs the company $100. The annual carrying cost for each cooker is 10%. Each Each order that is placed by company costs 300, covering clerical and delivery cost. The order lead time is 6 days and the company is open for business 365 days per year.

1. What is the economic order quality?

2. What is the annual order cost?

3. What is te annual carrying cost?

4. At what inventory level should company place an order?

5. Company has the option of buying in quantities of 4000 at a price of 95 per unit. Should they buy? Why or why not?


Related Discussions:- Explain what is te annual carrying cost

Operation management, What are different benefits & limitations of Waiting ...

What are different benefits & limitations of Waiting Line Theory?

Explain matrix structure and provide examples, Some people argue that the m...

Some people argue that the matrix structure should be adopted only as a last resort because dual chains of command can create more problems that they solve. Discuss and provide exa

Explain authorities under the industrial disputes act, Explain the authorit...

Explain the authorities under the Industrial Disputes Act, 1947. Ans: One of the authorities under the Industrial Disputes Act, 1947 for investigation and settlement of indu

Define people to try to justify conduct by the argument, How common do you ...

How common do you think it is for people to try to justify their conduct by the argument that "Everybody's doing it"?

Explain the major components of hr planning and forecasting, Discuss the ma...

Discuss the major components of hr planning and forecasting efforts.

Health Care for Women Veterens, NOTE: NOTE: below are the 2 textbooks used...

NOTE: NOTE: below are the 2 textbooks used in the course and it is important to use quantitative analysis techniques covered in both texts. PMBA 6312 Quantitative Methods/Research

Explain discussion of power and influence, From the Finding the Leader in y...

From the Finding the Leader in you highlight, we read about Nelson Mandelas use of power for the greater good. Using the books discussion of power and influence as a backdrop, anal

Explain manufacturing and service processes using queuing, Briefly compare ...

Briefly compare and contrast the manufacturing and service processes using queuing and assembly lines as your items to compare and contrast

State you views about supply chain management, Q. State you views about sup...

Q. State you views about supply chain management? Strategies to attain greater integration of the supply chain through raw material to the eventual final sale and disposal of a

Explain which if any of the resources are over allocated, 1. Which if any o...

1. Which if any of the resources are over allocated? 2. Assume that the project is time constrained and try to resolve any over allocation problems by levelling slack. What happ

Write Your Message!

Captcha
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