What is the annual cost of ordering and holding inventory

Assignment Help Operation Management
Reference no: EM132190993

Race One Motors is an Indonesian car manufacturer. At its largest manufacturing facility, in Jakarta, the company produces subcomponents at a rate of 300 per day, and it uses these subcomponets at a rate of 12,300 per year (of 250 working days). Holding costs are $2 per item per year, and ordering costs are $31 per order.

a) What is the economic production quantity?

b) How many production runs per year will be made?

c) What will be the maximum inventory level?

d) What percentage of time will the facility be producing components?

e) What is the annual cost of ordering and holding inventory?

Reference no: EM132190993

Recession workplan management

As part of a “Recession Workplan”, management at North49 demanded that he, along with other production workers, be reduced to 6-hour shifts, but to be on call, including weeke

Determine how much investment and debt

Finco must determine how much investment and debt to undertake during the next year. Each dollar invested reduces the NPV of the conpany by 10 cents, and each dollar of debt

The average time for the gift wrapping operation

Jeff Lee Beans is famous for its boxed candies, which are sold primarily to businesses. One operator had the following observed times for gift wrapping in minutes 2.3, 2.6, 2.

Consumers really make up our own minds in market economy

Marketing Marketing Is more than Just advertising. It consists of all that Is done to get the product Into the hands of the consumer. Much of marketing is pyschological. Compa

Find aggregate production plan with minimum total cost

A firm produces N products and has M production plants. The following data is available for aggregate production planning over T months: The cost of producing product i in pla

Design an ethical dilemma

Design an ethical dilemma (about 100 words) that you might encounter personally in professional practice (as a researcher, manager, supervisor, employee, etc.) This must be a

Knowledgeable in various business domains

A group of college graduates decides to start a business. Though they are knowledgeable in various business domains, they are unable to arrive at a valuable business idea. The

What is the importance of citizen participation

What is the importance of “citizen participation” as a basic component of democratic administration? Identify and discuss various forms of citizen participation that have been


Write a Review

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