Busi. 410 Lab Pre-Practice 3

Busi. 410 Lab Pre-Practice 3 - $56.00 $54.12 $52.83 $52.17...

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The Golden Urn Weekly Demand Prob. 16 0.06 17 0.14 18 0.20 19 0.14 20 0.10 21 0.08 22 0.07 23 0.06 24 0.05 25 0.04 26 0.03 27 0.02 28 0.01 16 17 18 19 20 21 22 23 24 25 26 27 28 0.00 0.05 0.10 0.15 0.20 0.25 Assembly Line (A) Weekly demand Probability
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Assembly Line (A) Starting inventory 1 Order quantity 68 Setup cost per order $9.00 Inventory cost/case $0.20 Backorder cost/case $2.00 Week 1 2 3 4 5 6 Monday morning inventory 1 49 29 9 57 37 Shipments 68 0 0 68 0 0 Available 69 49 29 77 57 37 Week's demand (simulated) 20 20 20 20 20 20 Friday night inventory 49 29 9 57 37 17 Warehouse order costs $9.00 $0.00 $0.00 $9.00 $0.00 $0.00 Inventory costs $9.80 $5.80 $1.80 $11.40 $7.40 $3.40 Backorder costs $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Total costs $18.80 $5.80 $1.80 $20.40 $7.40 $3.40 Total 6-week cost $57.60 Weekly Demand Prob. 16 0.06 17 0.14 18 0.20 19 0.14 20 0.10 21 0.08
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22 0.07 23 0.06 24 0.05 25 0.04 26 0.03 27 0.02 28 0.01
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rder quantity (62.00) rder quantity (63.00) rder quantity (64.00) rder quantity (65.00) rder quantity (66.00) rder quantity (67.00) rder quantity (68.00) Starting inventory (-5.00)
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Unformatted text preview: $56.00 $54.12 $52.83 $52.17 $52.05 $52.44 $53.23 1 Starting inventory (-4.00) $54.60 $53.13 $52.20 $51.90 $52.12 $52.80 $53.74 2 Starting inventory (-3.00) $53.51 $52.36 $51.85 $51.88 $52.41 $53.29 $54.38 3 Starting inventory (-2.00) $52.65 $51.89 $51.73 $52.10 $52.87 $53.90 $55.16 4 Starting inventory (-1.00) $52.04 $51.68 $51.86 $52.48 $53.45 $54.66 $56.03 5 Starting inventory (0.00) $51.72 $51.71 $52.16 $53.03 $54.18 $55.52 $56.98 6 Starting inventory (1.00) $51.66 $51.92 $52.64 $53.73 $55.01 $56.45 $57.98 7 1 2 3 4 5 6 7 The new optimal value for starting inventory is 1.00, and the new optimal value for order quantity is 62.00. However, these may not be the absolute optimal values, we would have to test the numbers adjacent to 1.00 and 62.00 next to determine if the total cost could decrease some more....
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This note was uploaded on 06/07/2011 for the course BUSI 410 taught by Professor Massa during the Fall '09 term at UNC.

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Busi. 410 Lab Pre-Practice 3 - $56.00 $54.12 $52.83 $52.17...

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