Company B is a retailer of mobile phones in Australia that works 250 days in a year. The manager is determining a minimum-cost inventory plan for an upcoming phone to be launched in the market. She has collected the following information: • Annual demand: 800 phones • Phone cost: $1,093 each • Phone RRP: $1,249 each • Net weight: 169 g each • Tare weight: 111 g each • Annual inventory holding cost: 25% • Cost per order to replenish inventory: $70 • Annual in-transit holding cost: 10%
Company B is a retailer of mobile phones in Australia that works 250 days in a year. The
manager is determining a minimum-cost inventory plan for an upcoming phone to be launched
in the market. She has collected the following information:
• Annual demand: 800 phones
• Phone cost: $1,093 each
• Phone RRP: $1,249 each
• Net weight: 169 g each
• Tare weight: 111 g each
• Annual inventory holding cost: 25%
• Cost per order to replenish inventory: $70
• Annual in-transit holding cost: 10%
• Freight rate: $8.10 per kg
• Time to process order for freight: 1 days
• Freight transit time: 2 days
Solve this problem using a non-linear programming (NLP) model to determine the followings:
d. The total cost for holding the inventory
e. The total cost for transportation
f. The total cost for holding the phones during transit
g. The total cost for this inventory plan
h. The number of orders
i. Ordering point
j. The profit from this inventory plan
Need solution for d to j also in excel solver format
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