MGT 3110 HW09.xlsx

# MGT 3110 HW09.xlsx - MGT 3110 HW09-Ch12-2 Amanda...

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MGT 3110 HW09-Ch12-2 Amanda Conner (bdd547) Due: 10/23/2016 P = price/unit Problem 12.24, except assume: D: 45000 i. annual holding costs are 30%, not 5%. S: 50 ii. Order costs are \$50 per order, not \$200. H: 30% of P Q-Range P H Q Candidate Q New Q 1-2,000 1.80 0.54 2886.75 Ignore b/c 2887 > UL 2,001-5000 1.60 0.48 3061.86 LL < Q < UL so Q = Q 3062 5,001-10,000 1.40 0.42 3273.27 Q < LL so Q = LL 5001 10,001+ 1.25 0.38 3464.10 Q < LL so Q = LL 10001 Candidate Q of 3062: Candidate Q of 5,001: B. Holding Cost: 734.88 B. Holding Cost: 1,050.21 C. Ordering Cost 734.813847 C. Ordering Cost: 449.91 D. Annual Silverware Cost: 72,000.00 D. Annual Silverware Cost: 63,000.00 E. Total Annual Cost: 73,469.69 E. Total Annual Cost: 64,500.12

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A. Optimal Ordering Q: 10,001 B. Holding Cost: 1,875.19 C. Ordering Cost: 224.9775022 D. Annual Silverware Cost: 56,250.00 E. Total Annual Cost: 58,350.17
Problem 12.43, except assume stock out cost is \$70 per unit and there are two order cycles per year. ROP = 200 Holding Cost: 30 Stockout Cost: 70 Total Cost: 0 Safety Stock: 8400 100 units stock: 5800 200 units stock: 6000

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Problem 12.46, except assume the standard deviation is 120 towels per day. Demand is variable, lead time is constant.
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