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An electronic company wishes to determine the best order size for its best selling data storage equipment. The company has estimated the annual demand of 1000 units. The holding (carrying cost) is 10% of selling price of $1000 and the ordering cost is $25 to place. What is the economic order quantity?
In the electronic company inventory case, what is the average inventory?
In the electronic company inventory case, how many orders per year will be placed?
In the electronic company inventory case, what is the minimum total annual inventory cost?
In the electronic company case, if annual sales is expected to increase by 50% next year, how would the EOQ changes?
A firm is faced with the attractive situation in which it can obtain immediate delivery of an item it stocks for retail sale. The firm has therefore not bothered to order the item in any systematic way. Optimal order quantity per order b. Total annua..
Describe Bullwhip Effect? and Suppose that all stages in the supply chain had tracked their inventory positions while managing their inventories. In addition, all stages had made their ordering decisions using base-stock policy.
An HMO requests your hospital services for its obstetrics division. It offers to pay your hospital $2,000 for a vaginal delivery without complications (DRG 373). You look at the Standard Test Procedure (STP) for this Diagnosis-Related Group (DRG) and..
The Green Organization has contracted with you to develop a training program for improving performance and effectiveness in their regional offices globally in the Real Estate Group. The Group accounts for over 10% of gross revenues to the organizatio..
The expected annual volumes expected to be shipped through the three warehouses is forecast to be 20 million units through A, 100 million through B and 50 million through C. Using the centroid method, approximately what should the coordinates of ..
Form a group in which each member represents a different functional area of a firm. Provide a priority list of the information that could be generated from an MPS
Is the solution degenerate? Is the solution unique? Explain the signs of the reduced costs for each of the decision variables. That is, considering the optimal value of each decision variable, why do the sign of its associated reduced cost make econo..
Based on these ratings from the supplier assessment, which supplier appears to be the best? Why? How would the final selection decision be made?
The CEO office has just called and left the following message: The retrenchment strategy has dictated the selling off of one of the divisions which will save 200 million dollars, which includes the 2,000 positions in that division. How would you impl..
The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows; Which forecast is more accurate using th..
In an effort to convince customer prospects that the product being offered has the correct / appropriate bundle of benefits to meet their respective end-user needs, marketers employ ______________________________ & _____________________________.
Konkol Company is considering investing in an annuity contract that will return $46,000 annually at the end of each year for 15 years. What amount should Konkol Company pay for this investment if it earns a 7% return, rounded to whole dollars?
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