What is the economic production quantity

Assignment Help Operation Management

Reference no: EM13230114

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 12,500 per year (of 250 working days). Holding costs are $2 per item per year, and ordering costs are $30 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: EM13230114

Questions Cloud

Compute the multifactor productivity under each system : Compute the multifactor productivity under each system. Use carts per dollar cost (labor plus equipment) as the measure. (Round your answers to 2 decimal places.)

Create an application that displays total no of customers : Joe also performs other nonroutine services and charges for parts and labor ($20 per hour). Create an application that displays the total for a customer's visit to Joe's.

Discuss the points and tabulate the strengths and weaknesses : Discuss the points and tabulate the strengths and weaknesses

What is the average time a car is in the system : Automobiles arrive at the drive-through window at the downtown Urbana, Illinois, post office at the rate of 4 every 10 minutes. The average service time is 2 minutes. The Poisson distribution is appropriate for the arrival rate and service times a..

What is the economic production quantity : 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 12,500 per year (of 250 working days). Holding costs are $2 per item per year, and ordering..

What is the reflection coefficient away from the load : A terminated transmission line with Z0 = 60 ohm has a reflection coefficient at the load of = 0.4 60. (a) What is the load impedance (b) What is the reflection coefficient 0.3 away from the load (c) What is the input impedance at this point

The evolution of e-marketing tools : The Evolution of E-Marketing Tools

What is the probability of processing bills within 4 hours : With the new system, what is the probability of processing the bills within 4 hours?

Find line and load voltages n turns ratio and total apparent : A ideal transformer is rated at 4800/480 volt, at 75KVA. it is connected as a step down auto transformer. find the line and load voltages, turns ratio and total apparent, real and reactive power at full load and at 60% rated load at a power factor..

User Account

All Pages