Total ordering and holding costs, Marketing Management

Assignment Help:

A manufacturing company has determined from an analysis from its accounting and its production data for a certain part that its demand is 9000 units/annum and is uniformly distributed over the year. Its cost is Rs 2/unit and its ordering cost is Rs 40/order and Inventory carrying charge is 9% of the Inventory value. Further, it is known that the lead time is uniform and equal 8 working days and that the total working days in a year are 300.

Determine the:

(i) EOQ

(ii) Optimum no of orders/annum

(iii) Total ordering and holding costs associated with the policy of ordering an amount equal to EOQ

(iv) The reorder level

(v) The no of days stock at reorder level

(vi) The length of the inventory cycle


Related Discussions:- Total ordering and holding costs

Buying decision process, Q.  Described briefly the steps in buying decisio...

Q.  Described briefly the steps in buying decision process. Ans.: The marketing scholars have developed a "stage model" of the buying process. The consumer passes via 5 stag

Brand promotion, What do you think that thisbrand promotion technique can b...

What do you think that thisbrand promotion technique can benefits an organisation by incresing sale

Production level problem, The popular Chiltern hotel operates a restaurant...

The popular Chiltern hotel operates a restaurant which makes its own food on the premises. The costs for the current production level of 500 meals are: Cost/meal (Rs) Material

How is impact of promotional efforts determined, How is impact of promotion...

How is impact of promotional efforts determined? Find out the impact of promotional efforts: Marketing research facilitates appraising and improving the methods of sales p

Conic section, The straight line y=x+3 cuts the circle x^2+y^2-6x-4y-3=0 at...

The straight line y=x+3 cuts the circle x^2+y^2-6x-4y-3=0 at points P and Q, where Q lies in the first quadrant. Calculate the coordinates of P and Q. Then, state the coordinates

Find market-clearing price and competitive allocation, 1. Consider an econo...

1. Consider an economy in which George and Harriet consume only ale and bread. Georgeís utility function is UG = aG(bG 1) where aG and bG are his consumption of ale and bread

#title.ms., factors affecting the product life cycle

factors affecting the product life cycle

Effect of changing supply on total revenue, Problem: Elasticity, Total Reve...

Problem: Elasticity, Total Revenue and Marginal Revenue For Each of the following cases, what is the expected impact on the total revenue of the firm? Explain your reasoning

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