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Office Supreme, Inc., a local retailer of office supplies, faces demand for one of its inventory items at a constant rate of 240,000 units per year. It costs Office Supreme $38 to process an order to replenish stock and $2.5 per unit per year to carry the item in stock. Stock is received 5 working days after an order is placed. Assume 250 working days a year. a. What is Office Supreme's optimal ordering quantity? b. What is the reorder point? c. What is the annual number of orders? d. What is the optimal interval (in working days) between orders? e. What are the annual carrying cost, ordering cost and total cost?
If elasticity is -2, price is $10, and marginal cost is $8, should you raise or lower price?
Differentiate between avoiding a risk and accepting a risk. Indicate the implications to your project that each might have.
The Stone Company produces three sizes of window fans: small, medium, and large. The manager has formulated an LP model for fan production: maximize 6 x1 + 8 x2 + 5 x3 (profit) sub
Personal Mini Warehouses is planning to expand its successful Nashua business into Lowell. In doing so, the company must determine how many storage rooms of each size to build. The
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Explains how you might use job enlargement, job rotation, and/ or job enrichment to in motivating custodians at Norman dale CC.
How must organisations have the flexibility to demand occur? Forecasting demand can be complicated and unreliable into an uncertain environment. Therefore a balance requires to
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