Inventory Physical exercises Essay

Inventory Exercises

1 ) At Us dot Com, a huge retailer of popular literature, demand is constant in 32, 500 books per ear. The price tag on placing an order to replenish inventory is $10,50 and the annual cost of holding is $4 per publication. Stock is definitely received five working days after an order has been put. No backordering is allowed. Assume three hundred working days 12 months. a. Precisely what is Dot Com's optimal order quantity (EOQ)?

b. What is the optimal quantity of order per year?

c. What is the optimal period (in doing work days) between orders? g. What is the demand during the lead time?

2 . Leaky Water pipe, a local merchant of plumbing related supplies, encounters demand for the SKUs for a constant charge of 31, 000 products per year. It costs Leaky Pipe $10,50 to procedure an in an attempt to replenish inventory and $1 per unit per year to handle the item in stock. Share is received four working days after an order is positioned. No backordering is allowed. Assume 300 working days a year. a. What is Leaky Pipe's optimal buy quantity?

w. What is the optimal number of purchase per year?

c. What is the perfect interval (in working days) between instructions? d. What is the demand during the lead time?

3. Sam's Cat Hotel operates 52 weeks per year, 6 time per week, and uses a constant review products on hand system. It purchase cat litter intended for $11. 75 per bag. The following details is available: Require = 90 bags/week

Purchase Cost = $54/order

Twelve-monthly holding expense = 28 percent of cost

Desired cycle assistance level = 80 percent

Business lead time = 3 weeks (18 working days)

Standard change of each week demand sama dengan 15 luggage

a. What is the EOQ? What would be the average time passed between orders (in weeks)?

n. What will need to Reorder Stage be? Reorder point needs sufficient inventory to meet require that would arise during lead time in conjunction with a safety share.

The safety stock protects coming from fluctuations/deviations popular that might take place. It is determined in the pursuing manner. Common deviation of weekly require times the square reason behind...

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