6578Assume the lead time is 1.5 weeks, the inventory period is 4.6 weeks, and thestockout level is 10%.Week Demand13247042446741242642648050748744910Note: Use Excel function to find Mean and Sample Demand Variance of the dataset.Q13.1. The Reorder point is approximately -Q13.2. The Lot size (Q) isFormulas: ROP = Mean*Lead time +Z*sqrt (Variance* Lead time)Lot size = Mean Demand * Inventory Period. (Q=M*T)401LL44LT

Economic order quantity (EOQ) is the optimal order quantity that helps in minimizing the total…

Answered: 7 69 6 8 5 3 4 Assume the lead time is…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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You have the data on the application during the 6 consecutive years below Requirement / Find the expected demand for the year 2008 using the simple moving average method The basis of three periods of time the years 2002 2003 2004 2005 2006 2007 2008 Order quantity 10 20 30 40 50 60
If EOQ = 289 units, S = $100, and H = $1 per unit per month, what approx. annual demand (D) level would the EOQ model best fit? Pick the closest answer option. EOQ = Sq root of [(2D*S)/H] D = annual demand in units S = cost of placing 1 order; H = cost of holding 1 unit of that item in inventory for 1 year 3596 units 3540.00 units 5011 units 4510 units
You are the executive chef at a large wedding facility, and a wedding with a confirmed count of 168 is scheduled for tomorrow at noon. Everything has been ordered except the shrimp, which was missing from the last purchase order. It will have to be a last-minute rush order, and only one supplier can get it to you in time. The purchase order will be for frozen raw, U 16-20, shrimp peeled, de-veined, tail-on, in 5-pound boxes (according to your spec for the product). You’ve dealt with this supplier before, and made a note to yourself on the jumbo shrimp spec that this vendor’s product averages 19 to 20 shrimp per pound and has a 96% yield. Catering policy dictates that a 10% buffer be provided for unexpected guests, and the catering menu states that 5 shrimp are to be served per person. If you have 4 pounds of good jumbo shrimp on hand, how much will you order for the wedding? Will there be any leftover product? How much?
1. Forrest and Dan make boxes of chocolates for which the demand is uncertain. Forrest says, "That's life." On the other hand, Dan believes that some demand patterns exist that could be useful for planning the purchase of sugar, chocolate, and shrimp. Forrest insists on placing a surprise chocolate-covered shrimp in some boxes so that "You never know what you'll get." Quarterly demand (in boxes of chocolates) for the last three years is shown in the table below: b. If the expected sales for chocolates are 14,400 cases for year 4, use the multiplicative seasonal method to prepare a forecast for each quarter of the year. (Round all intermediate calculations to two decimal places.) The first quarter forecast is what? boxes of chocolates. (Enter your response rounded to the nearest whole number.)
Add two (2) new customers, two (2) old customers and two (2) new POS transactions. SalesID InvoiceNo TransDate Item Description Color Size qty Price StoreID YearID Brand Name Address CurrID YEARVAL 82605 10828 06-Dec-09 8720400000227 REGULAR CIGARS 1 21.74 TCS 2009 HENRI WINTERMANS Yetty BDS 2009 47075 45036325 26-Aug-08 POSTCARDS POSTCARDS 1 1.4 CS 2008 Guenna BDS 2008 4590 60007295 14-Jan-08 3707-11-6 BLOUSES BLK/MLT L 1 586 CC 2008 GOTTEX Yankee CORAL REEF HOTEL USD 2008 4599 60007301 15/1/2008 3007-319-18 PANTS CORAL XS 1 200 CC 2008 CUT LOOSE Quigly YEARWOOD RD BLK ROCK USD 2008
Your company has previously used a fixed order size where ordering takes place once a quarter, but since the product's sustainability only allows warehousing for a limited time, demand varies somewhat and the product's character also means that the stock cost is rather expensive, SEK 54 per product and year. So, the company wants to investigate whether a more dynamic order size is preferable. Each order costs the company approximately SEK 1,200. The forecast for the next 4 months is given below: Month 1 2 3 4 Forecast 180 320 490 180 Decide in which periods ordering should take place (you can choose the calculation method).
National Scan, Inc., sells radio frequency inventory tags. Monthly sales for a seven-month periodwere as follows:Month Sales (000 units)Feb. 19Mar. 18Apr. 15May 20Jun. 18Jul. 22Aug. 20a. Plot the monthly data on a sheet of graph paper
Black Instrument Company replenishes highly specialized replacement (service) parts based on statistical reorder point. One part is a 40-mm thumbscrew. Relevant data for the thumbscrew are: Planned stock out frequency= Six per year. Planned lead time = 2 weeks Forecast for next week= 300 Batch size = 400 Standard deviation of demand = 20 (per week) What is the reorder point? What would be the effect on the ROP if lead time were five weeks instead of two? What other factors might impact your decision on when to reorder parts?
As with other products, Fisher-Price faces the decision of how many Weather Teddy units to order for the comingholiday season. Members of the management team suggested order quantities of 15,000, 18,000, 24,000, or28,000 units. The wide range of order quantities suggested indicates considerable disagreement concerning themarket potential. The product management team asks you for an analysis of the stock-out probabilities forvarious order quantities, an estimate of the profit potential, and to help make an order quantity recommendation.Fisher-Price expects to sell Weather Teddy for $24 based on a cost of $16 per unit. If inventory remains afterthe holiday season, Fisher-Price will sell all surplus inventory for $5 per unit. After reviewing the sales historyof similar products, Fisher-Price’s senior sales forecaster predicted an expected demand of 20,000 units with a.95 probability that demand would be between 10,000 units and 30,000 units. Question: One of Fisher-Price’s managers felt…
As with other products, Fisher-Price faces the decision of how many Weather Teddy units to order for the comingholiday season. Members of the management team suggested order quantities of 15,000, 18,000, 24,000, or28,000 units. The wide range of order quantities suggested indicates considerable disagreement concerning themarket potential. The product management team asks you for an analysis of the stock-out probabilities forvarious order quantities, an estimate of the profit potential, and to help make an order quantity recommendation.Fisher-Price expects to sell Weather Teddy for $24 based on a cost of $16 per unit. If inventory remains afterthe holiday season, Fisher-Price will sell all surplus inventory for $5 per unit. After reviewing the sales historyof similar products, Fisher-Price’s senior sales forecaster predicted an expected demand of 20,000 units with a.95 probability that demand would be between 10,000 units and 30,000 units. Compute the probability of a stock-out for the…
A product's demand in cach period follows a Normal distribution with mean of 50 and standard deviation of 6. The order up to level S is 225. Lead time is 3 periods. What is the Expected On hand Inventory? Show all formulas used. calculations and results. What is the stock out probability ? Show all formulas used, calculations and results.
Give A brief introduction about different types of models used in Inventory Control (EOQ - EBQ - Probabilistic Demand).

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7 69 6 8 5 3 4 Assume the lead time is 1.5 weeks, the inventory period is 4.6 weeks, and the stockout level is 10%. Week Demand 1 470 424 467 412 426 426 2 480 507 487 401 H 10 Note: Use Excel function to find Mean and Sample Demand Variance of the dataset. int is approximately