Jordin Henry's machine shop uses 2,470 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 Holding cost per bracket per year Order cost per order Lead time Working days per year a) What is the EOQ? units (round your response to two decimal places). 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 will be made annually? What would be the annual order cost? $ (round your response to two decimal places). 2,470 $1.65 $19.00 2 days 250 units (round your response to two decimal places). (round your response to two decimal places). orders (round your response to two decimal places). d) Given the EOQ, what is the total annual cost of managing (ordering and holding) the inventory? $ (round your response to two decimal places). e)What is the time between orders? f) What is the reorder point (ROP)? days (round your response to two decimal places). units (round your response to two decimal places).

Jordin Henry's machine shop uses 2,470 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 Holding cost per bracket per year Order cost per order Lead time Working days per year a) What is the EOQ? units (round your response to two decimal places). 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 will be made annually? What would be the annual order cost? $ (round your response to two decimal places). 2,470 $1.65 $19.00 2 days 250 units (round your response to two decimal places). (round your response to two decimal places). orders (round your response to two decimal places). d) Given the EOQ, what is the total annual cost of managing (ordering and holding) the inventory? $ (round your response to two decimal places). e)What is the time between orders? f) What is the reorder point (ROP)? days (round your response to two decimal places). units (round your response to two decimal places).

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter16: Lean Supply Chain Management

Section: Chapter Questions

Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...

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