Illustrate what is the total cost of this policy

Assignment Help Operation Management
Reference no: EM1373986

Q. Rocky Mountain Tire Center sells 15,000 go-cart tires per year. The ordering cost for each order is $50 and the holding cost is 15% of the purchase price of the tires per year. The purchase price is $18 per tire if fewer than 500 tires are ordered, $17 per tire if 500 or more-but fewer than 1,500-tires are ordered and $16 per tire if 1,500 or more tires are ordered.

Explain how many tires should Rocky Mountain order each time it places an order? Illustrate what is the total cost of this policy? Justify your answer and explain how calculations.

 

Reference no: EM1373986

Questions Cloud

Identify the areas of consumer surplus and producer surplus : Create a supply and demand graph and identify areas of customer’s surplus and producer surplus. Given the demand curve, determine what impact will an risee in supply have on amount of customer  surplus shown in your diagram?
Problem on the capital structure : How do you judge a business's well-being from examining its capital structure and does it make a difference who you are
Explain how much will the layout improvement be worth : She estimates that the new layout will cut the amount of walking for the average employee by 100 miles per year. Explain how much will the layout improvement be worth.
Illustrate what is the probability that both service clerks : Illustrate what is the probability that both service clerks are idle. Explain how many customers, on average, are waiting in line in front of each service desk.
Illustrate what is the total cost of this policy : Explain how many tires should Rocky Mountain order each time it places an order. Illustrate what is the total cost of this policy. Justify your answer and explain how calculations.
Determine the marginal tax rate : Determine the marginal tax rate and the effective tax rate for each of the C corporations and describe why marginal tax rate for a C corporation can exceed 35%, but effective tax rate cannot.
Explain how many kanbans card sets are needed : Due to variations in processing times due to the size and length of the bracelets, it has been decided to keep 25 percent of the needed inventory as safety stock. Explain how many kanbans card sets are needed.
Compute the single exponential smoothing forecast : Compute the single exponential smoothing forecast for this information using an ad of .30 and an initial forecast. Compute the mean absolute deviation (MAD) for each forecast.
Evaluate gift card revenue : Explain how much gift card revenue related to with the August 2013 gift card sales would Lizzie get to recognize in 2013 and 2014?

Reviews

Write a Review

Operation Management Questions & Answers

  Linear programming model set objective function

A company produces two products which are processed on two assembly lines. Assembly line 1 has 100 available hours, and assembly line 2 has 42 hours. Propose linear programming model for this problem.

  Identify individuals within the buying organization

Identify individuals within the buying organization who fulfil the different roles of the buying center. Identify as many for every role as possible, doing research where necessary.

  Explain how many kanbans card sets are needed

Due to variations in processing times due to the size and length of the bracelets, it has been decided to keep 25 percent of the needed inventory as safety stock. Explain how many kanbans card sets are needed.

  International business operations

Show the three options given above. Include in your discussion the issues involved and the advantages and disadvantages of each. Which do you consider would be the most beneficial to Eastrex and DSV?

  Elucidate what is the production

Due to the physical separation of these 2 steps, an additional delay of 0.5 days is allowed for transportation. If daily demand = 13 units, Elucidate what is the production. Lead Time between Steps 1 also 2.

  Linear programming of jane deere company

The Jane Deere Company manufactures tractors in Provo, Utah. Jeremiah Goldstein, the production planner, is scheduling tractor production for the next three months.

  Evaluate the idea of supplying generic printers to europe dc

Evaluate the idea of supplying generic printers to the Europe DC and integrating the product by packaging the power supply and the instruction manual at the DC just prior to delivery to the European resellers.

  Describe how they have evolved over time

Describe how they have evolved over time. Include references to the moral philosophy or social issues which affect your approach to the development of this Code of Ethics.

  Linear programming-operations

A certain farming organization operates three farms of the comparable productivity. The output of each farm is limited both by usable acreage and by amount of water available for irrigation.

  Market research explained solution

Let's say your market research firm is hired to assist retail store that is interested in revamping their overall store format in an effort to keep people in their store longer.

  Pert/cpm techniques

Discuss the use of PERT/CPM techniques for managing projects. Describe what PERT/CPM does. Discuss advantages and disadvantages of using it.

  Describe what criticism eoq models tend to give

Describe how would you respond to the criticism which EOQ models tend to give misleading results because value of D, S also H are, at best, educated guesses.

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