What benefit would utilize the optimal order quantity yield, Operation Management

Assignment Help:

Garden Variety Flower Shop uses 750 clay pots a month. The pots are purchased at $2 each. Annual carrying cost per pot are estimated to be 30 percent of the cost and ordering costs are $20 per order. The manager has been using an order size of 1500 flower pots.

a. What additional annual cost is the shop incurring by staying with this order size?

b. Other than cost savings, what benefit would using the optimal order quantity yield?

Please explain when answered so I can understand it. Thanks a bunch


Related Discussions:- What benefit would utilize the optimal order quantity yield

Linear Program , I have 3 questions involving linear programming, solving u...

I have 3 questions involving linear programming, solving using both a) the enumerating the corner points method and b) the iso-profit line method.

Principleand practices of management, how will you influencepeople to striv...

how will you influencepeople to strive willingly for group objectives in your organisation(target based industry)apply your interpersonal influence through communication process to

Who are involve in top management, Who are involve in top management ? T...

Who are involve in top management ? Top management level involves Board of Directors, Chief Executive and General Manager and Managing Directors.

ASK, If you were the professor and you knew what was going through Vincent?...

If you were the professor and you knew what was going through Vincent?s mind, what would you say to Vincent?

Define the information security issues facing the government, Evaluate: Eva...

Evaluate: Evaluate the information security issues facing the government and identify its three biggest concerns

Explain what is the economic order quantity technique, What is the Economic...

What is the Economic Order Quantity technique and what are the basic assumptions the model formula follows?

Explain consumption behaviours which you consider unethical, Compile a list...

Compile a list of consumption behaviours which you consider unethical. For each behaviour listed, explain why you view it as wrong

Regarding process improvement, During the analysis of a process that was ev...

During the analysis of a process that was evaluated, it was seen that the variability was non-random on several occasions, i.e, it did not meet acceptable quality standards. Howeve

Describe home improvement project or charity project, Risk is often describ...

Risk is often described as the event that "might" happen during the course of a project. Explain how risk has impacted a project that you have been associated with as a team member

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