what is the Optimum Production Order Quantity.

7. Sam's Cat Hotel operates 52 weeks per year, 5 days per week, and uses a continuous review inventory system. It purchases kitty litter for $11.00 per bag. The following information is available about these bags. Refer to the standard normal table for z-values. ≻Demand = 95 bags/week ≻Order cost = $57/order ≻Annual holding cost = 30 percent of cost ≻Desired cycle-service level=98 percent ≻Lead time = 1 week(s) (5 working days) ≻Standard deviation of weekly demand = 20 bags ≻Current on-hand inventory is 350 bags, with no open orders or backorders. d. The store currently uses a lot size of 490 bags (i.e., Q=490). What is the annual holding cost of this policy? (Enter your response rounded to two decimal places.) and (Enter your response rounded to two decimal places.) **select the correct multiple choice answer** e. What would be the annual cost saved by shifting from the 490-bag lot size to the EOQ? (Enter your responses rounded to two decimal places.)

es Garden Variety Flower Shop uses 930 clay pots a month. The pots are purchased at $3.90 each. Annual carrying costs per pot are estimated to be 10 percent of cost, and ordering costs are $10 per order. The manager has been using an order size of 2,000 flower pots. a.What additional annual cost is the shop incurring by staying with this order size? (Round your optimal order quantity to the nearest whole number. Round all other intermediate calculations and your final answer to 2 decimal places.) Additional annual cost b.Other than cost savings, what benefit would using the optimal order quantity yield (relative to the order size of 2,000)? (Use the rounded order quantity from Part a. Round your final answer to the nearest whole percent.) About % of the storage space would be needed. Check my

A produce distributor uses 790 packing crates a month, which it purchases at a cost of $10 each. The manager has assigned an annual carrying cost of 39 percent of the purchase price per crate. Ordering costs are $31. Currently the manager orders once a month. How much could the firm save annually in ordering and carrying costs by using the EOQ? (Round intermediate calculations and final answer to 2 decimal places.) Savings per year

M. Cotteleer Electronics supplies microcomputer circuitry to a company that incorporates microprocessors into refrigerators and other home appliances. One of the components has an annual demand of 260 units, and this is constant throughout the year. Carrying cost is estimated to be $1.00 per unit per year, and the ordering (setup) cost is $21 per order. a) To minimize cost, how many units should be ordered each time an order is placed? 104.50 units (round your response to two decimal places) b) How many orders per year are needed with the optimal policy? places) orders (round your response to two decimal

A Manufacturing company's average demand is 2000 plastic cups per week and the standard deviation is 150 plastic cups . As per inventory policy , company call for replacement order of 10000 plastic cups and average lead time is 2 days . If company maintains the 95 % service level means what is the safety stock ? 250 Plastic cups 350 Plastic cups 325 Plastic cups 220 Plastic cups

Discuss how inventory expenses must be balanced and kept to q minimum through inventory control

Austin medical doctor's office uses 9,000 hypodermic needles per year. These needles are purchased from a medical supplier 150 miles away. The setup or ordering cost is $10 per order, the holding or carrying cost per unit per year is $0.50. There are 300 working days per year, and lead time is 2 days If EOQ model is employed, what would be the daily demand rate? Keep your written work. Select one: a. 60 O b. 20 Ос. 30 O d. 15 e. 10

Need some help with part D please!

Joe​ Henry's machine shop uses 2,460 brackets during the course of a year. These brackets are purchased from a supplier 90 miles away. The following information is known about the​ brackets:   Annual demand 2,460 Holding cost per bracket per year $ 1.65 Order cost per order $20.00 Lead time 22 days Working days per year 250 ​a) What is the​ EOQ? ​b) What is the average inventory if the EOQ is​ used? What would be the annual inventory holding​ cost? ​c) Given the​ EOQ, how many orders would be made each​ year?   What would be the annual order​ cost? ​d) Given the​ EOQ, what is the total annual cost of managing​ (ordering and​ holding) the​ inventory? ​e) What is the time between​ orders? ​f) What is the reorder point​ (ROP)?