Explain what is the annual number of orders, Operation Management

Assignment Help:

Office Supreme, Inc., a local retailer of office supplies, faces demand for one of its inventory items at a constant rate of 240,000 units per year. It costs Office Supreme $38 to process an order to replenish stock and $2.5 per unit per year to carry the item in stock. Stock is received 5 working days after an order is placed. Assume 250 working days a year. a. What is Office Supreme's optimal ordering quantity? b. What is the reorder point? c. What is the annual number of orders? d. What is the optimal interval (in working days) between orders? e. What are the annual carrying cost, ordering cost and total cost?


Related Discussions:- Explain what is the annual number of orders

Explain what are the minimum and maximum cycle times, An assembly line with...

An assembly line with 17 tasks is to be balanced. The longest task is 2.1 minutes, and the total time for all tasks is 23 minutes. The line will operate for 480 minutes per day. a.

Define if its compensation was externally competitive, How might a company ...

How might a company determine if its compensation was externally competitive?

Implementation of the cost of quality, Question: What are different con...

Question: What are different conditions which a company has to make sure before the implementation of the Cost of Quality? Description/Definition of cost of Quality • The

Explain cultural differences between chin and google, Google, the company w...

Google, the company with the mission to make the worlds information universally accessible has come under fire with its re-launch of Google-China. It seems that the lure of the sec

Why jobs needed to produce the shopping carts, A company that makes shoppin...

A company that makes shopping carts for supermarkets and other stores recently purchased some new equipment that reduces the labour content of the jobs needed to produce the shoppi

Explain to beat the competition to a sale, During the holidays, companies o...

During the holidays, companies often provide gifts to customers. The more a client spends, the larger the gift, usually. To segment customers in this way, for what purpose is this

Line balancing, What do you understand by “line balancing”? What happens if...

What do you understand by “line balancing”? What happens if balance doesn’t exist?

Sequencing.., program to find optimal sequence, total elapsed time and tota...

program to find optimal sequence, total elapsed time and total idle time in 6 jobs and 3 machines

Explain that item as well as a few other items on the return, Tony taxpayer...

Tony taxpayer´s return has come up for audit by the Internal Revenue Service (IRS). He took some deductions this year for an office in his home. Amelio Auditor at the IRS has disal

Write Your Message!

Captcha
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