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Chapter 11

# Chapter 11 - 4 a Q = 2 DCo = Ch 2(12 000(25 =...

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a. * 2 2(12,000)(25) 1095.45 (0.20)(2.50) o h DC Q C = = = b. 1200 (5) 240 250 r dm = = = c. * 250 250(1095.45) 22.82 12,000 Q T D = = = d. Holding 1 1 (1095.45)(0.20)(2.50) \$278.86 2 2 h QC = = Ordering 12,000 (25) 273.86 1095.45 o D C Q = = Total Cost = \$547.72 9. a. * 2 2(5000)(80) 400 (0.25)(20) o h DC Q C = = = b. 5000 (12) 240 250 r dm = = = c. 5000 (35) 700 250 r dm = = = d. Since r = 700 and Q * = 400, one order will be outstanding when the reorder point is reached. Thus the inventory on hand at the time of reorder will be 700 - 400 = 300. 15. a. 2 2(1200)(25) 0.50 5 * 1148.91 0.50 0.50 o h b h b DC C C Q C C + + = = = b. 0.50 * * 1148.91 104.45 0.50 5 h h b C S Q C C = = = + + c. Max inventory = Q * - S * = 1044.46 d. 250 * 250(1148.91) 23.94 12000 Q T D = = = e. Holding: 2 ( ) \$237.38 2 h Q S C Q - = Ordering: 261.12 o D C Q = Backorder: 2 23.74 2 b S C Q = Total Cost: \$522.24 11 - 1

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Chapter 11 - 4 a Q = 2 DCo = Ch 2(12 000(25 =...

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