What is the average number of bags on hand

Assignment Help Operation Management

Reference no: EM132255634

A bakery buys flour in 25-pound bags. The bakery uses 1,215 bags a year. Ordering cost is $10 per order. Annual carrying cost is $75 per bag.

Determine the economic order quantity.

What is the average number of bags on hand?

How many orders per year will there be?

Compute the total cost of ordering and carrying flour.

If holding costs were to increase by $9 per year, how much would that affect the minimum total annual cost?

Reference no: EM132255634

Questions Cloud

Job between production of batches of heating elements : Is there enough time to do this job between production of batches of heating elements? Explain.

What are the ethical principles you believe are relevant : MKT 111 Montgomery County Community College Describe the ethical behavior of Take Two Interactive and RockStar and their managers in this case.

Should the measure of gdp be changed : Five years later, at the end of 2017, U.S. Real GDP was $17,096.18 billion and Real Per Capita GDP was $52,446 billion.

Discuss two strategies-tools or control systems : Discuss two strategies, tools, or control systems which an organization could utilize to determine whether or not a plan is working as intended

What is the average number of bags on hand : Determine the economic order quantity. What is the average number of bags on hand? Compute the total cost of ordering and carrying flour.

Dollar amount of income : London purchased a piece of real estate last year for $83,500. The real estate is now worth $100,900. If London needs to have a total return

Calculate the expected return of combined new portfolio : The expected return of the new project is 11%. Calculate the expected return of the combined new portfolio.

List the events that lead to the packard commission : List the events that lead to the Packard Commission. Explain why it was needed and how it changed the way of government accounting.

Should the passalacquas buy the eastside meats building : Should the Passalacquas buy the Eastside Meats building? Provide at least five arguments for buying the Eastside Meats building?

User Account

All Pages