Exam 3 Practice.xlsx - GIVEN EOQ EXAMPLE Annual Demand Order Cost\/Lot S= 12000 $ EOQ Q = 4,000 $ Annual Holding Costs 490 Combined Order Cost S = $

Exam 3 Practice.xlsx - GIVEN EOQ EXAMPLE Annual Demand...

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GIVEN EOQ EXAMPLE Annual Demand Unit Cost, C = Holding Cost, h = 12000 $ 4,000 $ 500 0.2 EOQ, Q* = Cycle Inventory 980 490 12.25 $ 97,979.59 $ 48,989.79 $ 6,097,979.59 12.25 GIVEN Demand (per yr) 12000 1200 120 $ 1,000 ### $ 1,000 Unit Cost 500 500 500 L M H 1230.2493704585 123.0249370459 12.3024937046 $ 7,000 9.75 $ 68,278.84 $ 68,278.84 GIVEN Unit Cost, C = Holding Cost, h = 10000 $ 500 $ 50 0.2 Order Cost/Lot, S = Number of orders/yr Annual Ordering & Holding Cost Annual Holding Costs Total Annual Cost, TC = Optimal Ordering Frequency, n* = Multiple products w/ Lots ordered & Delievered Independently D L D M D H Product Order Cost s L s M s H C L C M C H Optimal Order size (D/n*) Combined Order Cost, S* = Optimal Order Frequency, n* = Annual Order Cost = Annual Holding Cost = Aggregation w/ Capacity Constraint Annual Demand/Product Order Cost/Lot, S = Combined Order Cost, S* = Optimal Order Frequency, n* = Annual Order Cost = Annual Holding Cost =
$ 900 14.91 $ 3,354.10 $ 3,354.10 Capacity Truck capacity 671 2683 2500 16 $ 3,600 $ 3,125 0 1 2 Quantity, Q = 0 5000 10000 Cost, C = $ 3.00 $ 2.96 $ 2.92 Demand, D = 120,000 S = $ 100 h = 0.2 6325 6367 6411 6367 10000 $ 358,969.35 $ 354,520.00 Quantity Units/Order, Q = Actual Order Frequency w/ Truck Constraint Annual Order Cost = Annual Holding Cost = All-Unit Quantity Discount Q 0 Q 1 Q 2 Q* 1 = Q 1 = Q* 2 = Q 2 = TC 1 = TC 2 =
0.041 per year

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