PROBLEMS 1 . Lead moment for one of Montegut Manufacturing’s speediest moving products is 5 days. Require during this period uses 100 devices per day.
What would be an appropriate re-order stage? Re-order level = require during lead time sama dengan 100 units/day * some days sama dengan 400 devices. 2 . Montegut Manufacturing produces a product for which the total annual demand can be 10, 500 units. Development averages 95 per day, when demand is usually 40 every day. Holding costs are $1. 00 every unit annually, set-up costs $200. 00. If they wish to produce this device in financial batches, what size batch should be applied?
What is the ideal inventory level? How many order cycles are there annually? How much will management on this good in inventory cost the firm each year? This problem requires economic order quantity, noninstantaneous delivery. [pic]or perhaps 1826 products. The maximum products on hand level can be [pic]or 1095 units. You will discover approximately [pic] cycles per year. Annual products on hand management costs total [pic]= $2, 190. 89 or $2, 191. 3. Central University uses $123, 000 of a particular toner container for laser beam printers in the student computer system labs each year.
The getting director with the university estimates the purchasing cost by $45 and thinks the fact that university can take this type of inventory at an annual storage expense of 22% of the purchase price. Just how many months’ supply should the purchasing movie director order in the past to minimize the total annual expense of purchasing and carrying? First, calculate the EOQ in the data supplied. In this difficulty, the “units” are us dollars, and the “price” of each can be 1 . [pic] One month’s usage is definitely 123000/12 sama dengan $10, two hundred fifity. EOQ = 7094. Month’s usage = 7094/10250 sama dengan 0. being unfaithful, or about three week’s usage. (This is definitely supported by the order rate of recurrence of 18 per year). 4. The soft goods department of a giant department store offers 175 models per month of a certain large bath towel. The unit cost of a towel towards the store can be $2. 40 and the cost of placing an order has become estimated to become $12. 00. The store uses an inventory carrying charge of 27% per year. Determine the optimal order quantity, order rate of recurrence, and the annual cost of products on hand management. If, through motorisation of the purchasing process, the ordering cost can be cut to $4. 0, what will be the modern economic order quantity, order frequency, and annual products on hand management price? Explain these kinds of results. Twelve-monthly demand is definitely 175 x 12 = 2100. For S=$12, the EOQ can be 273 devices, and there are about 8 instructions per year. Gross annual costs of inventory supervision are $184. 44. These results are in depth in the measurements below. [pic], [pic] [pic] For S=$4, EOQ falls to 158, and order regularity rises to 13. Gross annual inventory managing costs fall to $106. 48. The lower order price encourages smaller sized, more regular orders. pic], [pic] [pic] 5. A printing company estimates that it may require one particular, 000 tons of a certain form of paper within a given period. The cost of holding one device in inventory for that period is 50 cents. The company buys the paper coming from a wholesaler in the same town, mailing its own pickup truck to pick up the orders in a fixed cost of $20. 00 per trip. Treating this kind of cost since the purchase cost, precisely what is the optimum volume of reams to obtain at one time? Just how many times should certainly lots of this size be bought during this period?
What is the lowest cost of preserving inventory about this item pertaining to the period? Of this total cost, how much is carrying cost and exactly how much is buying cost? This can be an EOQ problem, although the time period is usually not a season. All that is required is that the demand value and the carrying cost share the same time frame reference. This will require approximately 3. five orders per period. Create costs and carrying costs are each $70. 71, and the total annual total is usually $141. 42. [pic], [pic] Having cost =[pic], installation cost = [pic]
