consider a continuous review system. on hand inventory equals 300, and there is a scheduled receipt of 35 units and a backorder for 335 units. if the reorder point is 800 units, how much should be ordered? The answer is EOQ amount but i would like to know how that is the correct answer.

A museum of natural history is having problems managing their inventories. Low inventory turnover is squeezing profit margins and causing cash-flow problems. A Class A item, a birdfeeder is also a top-selling item. See information for this item in the table below. Management has been ordering in lots of 390 units. 1) What is the annual cost of the current policy (hint: find the current total cost with the current order size, Q)? 2) What is the Economic Order Quantity or the optimum order quantity (EOQ) for the birdfeeders? 3) What is the total annual cost of ordering at the EOQ? How much could be saved if the museum ordered at the EOQ opposed to their current order size of 390 units? 4) When should the museum place an order, at how many units (i.e.: what is their reorder point or lead time demand)? Sales per week (demand) Purchase cost Order cost Annual holding cost Birdfeeder: Operating weeks per year Lead time for orders (weeks) Order size EOQ (calculated) 18 $ $ 60.00 45.00 25% of…

Central University uses 123,000 units of a particular toner cartridge for laser printers in the student computer labs each year. The purchasing director of the university estimates the ordering cost at $45 and thinks that the university can hold this type of inventory at an annual storage cost of $0.22 per toner cartridge. Lead time is 2 days. What is the optimal lot size? Compute in 2 dec pl. a. 9093.53 units O b. 3093.53 units O c. 7093.53 units O d. 593.53 units e. 1093.53 units

If annual demand is 6,125 units, annual holding cost is $5 per unit, and setup cost per order is $50, what is the EOQ lot size?

Abey​ Kuruvilla, of Parkside​ Plumbing, uses 1,250 of a certain spare part that costs ​$26 for each​ order, with an annual holding cost of $27. ​a) Calculate the total cost for order sizes of​ 25, 40,​ 50, 60, and 100 ​(round your responses to two decimal​ places). b) What is the economic order​ quantity? units ​(round your response to two decimal​ places).

Annual demand (D) is 49,000 units. Ordering Cost (S) is $1,000 per order. Holding cost (H) is $2 per unit per year. Find economic order quantity (Q*). 7,000 units 49,000,000 units 4,950 units 3,500 units 4,083 units

Best Buy's monthly demand for an Olympus Digital Camera FX 5500 is Poisson distributed with a mean of 3 cameras/month. The order quantity is 6 cameras, holding costs are $6.00 per camera per year, the backorder cost per outage is $12.00/unit, and the lead-time is 1 month. Determine the safety stock. 00 01 02 03 O4

If Sarah wants to minimize inventory holding and ordering costs, how much Palm oil should she purchase with each order (in kgs)?

With a normal demand and normal lead-time, increasing the order lead-time results in which of the following? Lower expected costs. Higher service levels. Higher stockout probability. All of the above.