Inventory policy using the bottom line to persuade

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inventory policy, using the bottom line to persuade management to accept her policy. Brenda analyzed her records over the past three years and determined that 20 kitchen sets were responsible for 85 percent of the customer orders. These 20 kitchen sets were composed of up to eight features in a variety of styles. Brenda listed each feature and its popular styles in the tables below. Brenda then created a table showing the 20 kitchen sets and the particular features
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composing each set. To simplify the table, she used the codes shown in parentheses below to represent the particular feature and style. For example, kitchen set 1 consists of floor tile T2, wallpaper W2, light fixture L4, cabinet C2, countertop 02, dishwasher D2, sink S2, and range R2. Notice that sets 14 through 20 do not contain dishwashers. Brenda knew she had only a limited amount of warehouse space allocated to the kitchen department. The warehouse could hold 50 square feet of tile and 12 rolls of wallpaper in the inventory bins. The inventory shelves could hold two light fixtures, two cabinets, three countertops, and two sinks. Dishwashers and ranges are similar in size, so Furniture City stored them in similar locations. The warehouse floor could hold a total of four dishwashers and ranges. Every kitchen set always includes exactly 20 square feet of tile and exactly five rolls of wallpaper. Therefore, 20 square feet of a particular style of tile and five rolls of a particular style of wallpaper are required for the styles to be in stock. Floor Tile Wallpaper Light Fixtures Cabinets W Painivory paper W2) vory paper with dark brown pirstripn W3 Be paper with marble texture (T1) White textured sle (12) vory tentured te 1) One large rectangular frosted fature (12) Three small square trosted fixtures Ch ight sold wood cabinets (CZ Dark solid wood cabinets (L3 One large oval frosted fture (C3) Light-wood cabinets with glass doors (C) Darkwood cabinets with glas doon (T3) White checkered tile with blue trim wA) Light yellow paper (14) White checkered tile (L4)
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Three smal trosted globe fatures with light yellow trim with martle texture Countertops Dishwashers Sinks Ranges S1) Sink with separate hot (O) Plain ightwood countertops (02) Stained ight-wood countertops 01) White energy-saving dishwasher RI) White electric oven and cold water taps 0)
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