11.1 For a particular SKU, the lead time is 4 weeks, the average demand is 125 units per week, and safety stock is 100 units. What is the average inventory if 1600 units are ordered at one time? What is the order point?
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- For a particular SKU, the lead time is 6 weeks, the average demand is 90 units aweek, and safety stock is 200 units. What is the average inventory if 10 weeks’ supply is ordered at one time? What is the order point?For a particular SKU, the lead time is 4 weeks, the average demand is 150 units perweek, and safety stock is 100 units. What is the average inventory if 1600 units areordered at one time? What is the order point?Suppose now inventory is reviewed every week, safety stock is 300, and at time of review the inventory level is 400. What should the order quantity be?
- 20. The expected annual usage of a particular material is 540,000 units, and the standard order size is 36,000 units The invoice cost of each unit is P900, and the ordering cost per order is P240. Assuming the company does not maintain safety stock. What is the average inventory?Explain the graph in Frame “A & B" in the context of inventory management. Frame A: Expected demand and lead time occur 300 Order point + 200 100 Safety stock 10 15 20 25 30 35 40 DAYS Frame B: Actual demand and lead time differ from what was expected 300 4 days 6 days 5 days 7 days Order point + 200 100 Safety stock 10 15 20 25 30 35 40 DAYS UNITS UNITSThe demand for product is 600 units per week, and the items are withdrawn uniformly. The items are ordered, and the setup cost is $25. The unit cost of each item is $3, and the inventory holding cost is $0.05 per item per week. Assuming shortages are not allowed, determine how often to order and what size should it be. If shortages cost is $2.00 per item per week, determine how often to order and what size it should be.
- Reorder Point Ordering: Average daily demand ( d) is 5 units with a std. dev. (od) of 1 unit. Average lead time ( LT) is 24 days with a std. dev. (OLT) of 1 day. The inventory manager wants to operate within 3 std. deviations (z = 3). Find the reorder point (ROP) and safety stock (S). ROP=141, SS=120 ROP=141, SS=21 ROP=120, SS=21 ROP=21, SS=141Reorder Point Ordering: Average demand per day () is 25 units, with a std. dev. of (od) 15 units. Lead time (LT) is 49 days. Find demand during lead time (DDL), safety stock (SS) and reorder point (ROP ) for 4-sigma (z = 4). DDL= 500 units, SS = 1225 units, ROP = 1645 units DDL= 1,645 units, SS=420 units, ROP = 1225 units DDL= 1,225 units, SS = 420 units, ROP = 1645 units DDL= 0 units, SS = 1225 units, ROP = 420 units DDL= 420 units, SS = 1645 units, ROP = 420 unitsThe materials manager for a billiard ball maker must periodically place orders for resin, one of the raw materials used in producing billiard balls. She knows that manufacturing uses resin at a rate of 50 kilograms each day, and that it costs $.04 per day to carry a kilogram of resin in inventory. She also knows that the order costs for resin are $100 per order, and that the lead time for delivery is four days. If the order size was 1,000 kilograms of resin, what would be the average inventory level?
- Please do not give solution in image format thanku What are order cycle costs if annual demand is 8,000 units, with the following order quantities and annual order cost is $97? a. Order quantity of 1,000 = b. Order quantity of 500 = C. Order qty of 8,000 =NEED ALL THREE QUESTIONS Item X is a standard item stocked in a company's inventory of component parts. Each year the firm, on a random basis, uses about 2,700 of item X, which costs $25 each. Storage costs, which include insurance and cost of capital, amount to $9 per unit of average inventory. Every time an order is placed for more item X, it costs $6. a. Whenever item X is ordered, what should the order size be? (Round your answer to the nearest whole number.) b. What is the annual cost for ordering item X? (Round your answer to 2 decimal places.) c. What is the annual cost for storing item X? (Round your answer to 2 decimal places.)(a) What is the expected jet fuel yearly average demand D?(b) Given D, find the order lot size Q that gives the economic order quantity (EOQ).(c) Given the EOQ, what is the total inventory holding cost?(d) Given the EOQ, what is the total inventory ordering cost?(e) Given the EOQ, what is the total annual inventory cost?(f) What is the time between orders in weeks? The airport is convinced that placing an order every season (every P = 13weeks) will be best. It is also aware that the expected demand will varywith a standard deviation of 20 tons, so it needs to take this information into account. (g) What is the protection period required by the proposed 13-week periodic review system?(h) The airport is required by the airlines to maintain a 99.75% service level.What is the required safety stock?(i) Calculate the order size (Q) when using P = 13.(j) What is the total annual inventory cost for the P = 3 inventory system?(k) What is the target inventory level (T)? The airport has shopped…