Meet the annual demand at the lowest cost

Assignment Help Operation Management
Reference no: EM131027288

CU, Incorporated (CUI), produces copper contacts that it uses in switches and relays. CUI needs to determine the order quantity, Q, to meet the annual demand at the lowest cost. The price of copper depends on the quantity ordered. Here are price-break and other data for the problem: Price of copper $0.80 per pound up to 2,499 pounds $0.79 per pound for orders between 2,500 and 4,999 pounds $0.78 per pound for orders of 5,000 pounds or more Annual demand 54,000 pounds per year Holding cost 20 percent per unit per year of the price of the copper Ordering cost $30 Which quantity should be ordered? (Round your answer to 2 decimal places. Omit the "$" sign in your response.)

Reference no: EM131027288

Questions Cloud

Communities of practice are generally organic in nature : Communities of practice are generally organic in nature and can’t be forced into existence (Sense, 2015). In order to better understand the problems in creating a successful community of practice it must first be defined. A community of practice shou..
What is stakeholder theory : What is stakeholder theory? Explain.
When should the buyer do most of the talking : It is commonly noted that people who work in sales naturally like to talk a lot. During the sales meeting, when should sales people do most of the talking, and when should the buyer do most of the talking?
Where will changes in the traditional business paradigm : Where will changes in the traditional business paradigm have to occur in order to accommodate sustainability in the coming decades?
Meet the annual demand at the lowest cost : CU, Incorporated (CUI), produces copper contacts that it uses in switches and relays. CUI needs to determine the order quantity, Q, to meet the annual demand at the lowest cost. The price of copper depends on the quantity ordered.
Used for handling linear programming problems : Conduct Internet research of the types of customer applications that are used for handling linear programming problems. Search the Web sites of software vendors for an example that interests you, then describe this customer application in this discus..
Discuss role of sensitivity analysis in linear programming : Discuss the role of sensitivity analysis in linear programming (LP). Describe an example of an LP problem in which sensitivity analysis would be important and explain why.
What is management of teams : “What is management of teams and what is important to consider when creating and leading a team for success?”
Example of an ethical situation demonstrating : What are the primary ethical principles and how do they pertain to healthcare? Provide a brief description of each principle and one example of an ethical situation demonstrating that principle that healthcare professionals may encounter on a daily b..

Reviews

Write a Review

 

Operation Management Questions & Answers

  Describe training method

Suppose you are the manager of an accounts receivable unit in a large company. You are switching to a new system of billing and record-keeping and need to train your three supervisors and twenty-eight employees in the new procedures.

  Choose the pitfalls in strategic planning that management

Choose the pitfalls in strategic planning that management in an organization should watch out for, or avoid? Identify at least three pitfalls. Response should be at least 200 words in length.

  How many buns should be made each week

How many wieners and how many buns should be made each week to maximize profit? State the objective function if W is the number of Weiners produced and B is the number of buns.

  Describe pros and cons of control system

What kind of conrol systems are being used to measure the perfromans of hospitals and their different kinds of employees such as doctors and nurses? What are the pros and cons of the control system.

  Create an inventory of the reasons for the growth

Create an inventory of the reasons for the growth in Web advertising. The Critical Analysis questions are designed to help you gain a deeper understanding of the subject matter, develop an increased ability to apply what you have learned and integr..

  The government has requested a loan from the imf

You are an IMF official who will be soon visiting a country whose export earnings are not able to pay for imports. The government has requested a loan from the IMF

  How much must setup time decline in order for the lot size

How much must setup time decline in order for the lot size to fall to 50 units? 25 units? 10 units? Explain how you determined the declines in setup time you calculated.

  Evaluate basic organizational structure options of MNEs

Evaluate basic organizational structure options of MNE’s. What types of organizational structures do you have experience with? Were some more desirable than others? Explain why.

  What are the annual inventory holding costs

The Burdell Company is a small manufacturing company that uses gear assemblies to produce four different models of mountain bikes. Use the information in Scenario. What are the annual inventory holding costs if Burdell orders using the EOQ quantity

  Business to business activities

Many towns and small cities have Web sites that they use to interact with their citizens. Describe three departments that should be included on the home page of a small town’s Web site and describe the citizen interactions that should be facilitated ..

  Used to enhance and maintain customer relationships

Discuss the strategies that can be used to enhance and maintain customer relationships. In detail, identify the key advantages and disadvantages of each strategy, as well as examples of the marketing tactics that may be used. It may be beneficial to ..

  International human resources

Propose a speech that you would give to a friend in an elevator summing up the contents of this course. You have 30 to 90 seconds to inform your friend of the most important elements.

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