A distributor of large appliances needs to determine the order quantities and reorder points for the various products it carries. The following data refer to a specific refrigerator in its product line.
Cost to place an order $100 / order
Holding cost 20 percent of product cost per year
Cost of refrigerator $500 / unit
Annual demand 500 units
Standard deviation of
demand during lead time 10 units
Lead time 7 days
Consider an even daily demand and a 365-day year.
a. What is the economic order quantity?
b. If the distributor wants a 97 percent service probability, what reorder point, R, should be used?
Answers: 1
Business, 22.06.2019 18:30, saneayahsimmons
What historical context does wiesel convey using the allusion of a fiery sky? he compares the sky to hell. the fires from air raids during world war ii the cremation of jews in the concentration camps the outbreak of forest fires from bombs in world war ii
Answers: 1
Business, 23.06.2019 08:20, marialandingin7520
Analyze the forces in the marketing environment that have contributed to pinterest’s explosion in popularity?
Answers: 3
A distributor of large appliances needs to determine the order quantities and reorder points for the...
English, 17.12.2020 21:10
Biology, 17.12.2020 21:10
Mathematics, 17.12.2020 21:10
English, 17.12.2020 21:10
Mathematics, 17.12.2020 21:10