Question

In: Statistics and Probability

1.Suppose we expected the third year’s annual demand for answering machines to be 1,200 units, which...

1.Suppose we expected the third year’s annual demand for answering machines to be 1,200 units, which is 100 per month. We would not forecast each month to have a demand of 100, but we would adjust these based on the seasonal indices as follows.Calculate the seasonal indices.

2) Determine the magnitude of the seasonal ratio of the average quarter centered at that time period.

Quarterly Sales ($1,000,000s) for Turner Industries
Quarter Year 1 Year 2 Year 3 Average
1 108 116 123 115.67
2 125 134 142 133.67
3 150 159 168 159
4 141 152 165 152.67
Average 131 140.25 149.5 140.25

Solutions

Expert Solution

2)

orchestra answered 2 years ago
Next > < Previous

Related Solutions

You can charge $1,200 for a new service for which annual demand is anticipated to be...
You can charge $1,200 for a new service for which annual demand is anticipated to be 9,000 units. Your business is able to handle 7,300 procedures per year. The business will be covered by five payers: program 1 will cover 80% of charges for 5% of the patients; program 2 will pay 70% of charges for 15% of the patients, program 3 will pay 60% of charges for 20% of the patients, program 4 will pay 80% of charges for...
Suppose that the annual demand for a component is approximately56,000 units. The company orders the...
Suppose that the annual demand for a component is approximately 56,000 units. The company orders the component from a supplier who has offered the following quantity discount schedule.Order Quantity0-9991,000-1,4991,500-3,4993,500or morePrice Per Unit$33$31$29$27If the company's carrying charge is 25% of the item's price and the cost per order is $330, determine the order quantity that would minimize the total related inventory costs for this component.The company's decision would be to order ____ Units.The total annualized ordering costs for this quantity is____
Suppose that the annual demand for a component is approximately 60,000 units. The company orders the...
Suppose that the annual demand for a component is approximately 60,000 units. The company orders the component from a supplier who has offered the following quantity discount schedule. Order Quantity Price per Unit 0-999 $30 1,000-1,999 $29 2,000-3,999 $28 4,000 or more $27 If the company’s carrying charge is 15 percent of the item’s price and the cost per order is $150, determine the order quantity that would minimize the total related inventory costs for this component.
Suppose that the annual demand for a component is approximately 63,000 units. The company orders the...
Suppose that the annual demand for a component is approximately 63,000 units. The company orders the component from a supplier who has offered the following quantity discount schedule. Order Quantity Price Per Unit 0-999 $31 1,000-1,999 $29 2,000-3,499 $27 3,500 or more $25 If the​ company's carrying charge is 16% of the​ item's price and the cost per order is ​$170​, determine the order quantity that would minimize the total related inventory costs for this component.
Suppose that the annual demand for a component is approximately 60,000 units. The company orders the...
Suppose that the annual demand for a component is approximately 60,000 units. The company orders the component from a supplier who has offered the following quantity discount schedule. Order Quantity Price per Unit 0–999 $30 1,000–1,999 $29 2,000–3,999 $28 4,000 or more $27 If the company’s carrying charge is 15 percent of the item’s price and the cost per order is $150, determine the order quantity that would minimize the total related inventory costs for this component.
Suppose that the annual demand for a componet is aproximately 60,000 units. The company ordes the...
Suppose that the annual demand for a componet is aproximately 60,000 units. The company ordes the component from a supplier who has offered the following quantity discount shedule. order Quantity Price per unit 0-999 $30 1,000-1,999 $29 2,000-3,999                                             $28 4,000-or more                                           $27 If the company's carrying charges is 15 percent of the item's price and the cost per order is $150, determine yhe order quantity that would minimize the total related inventory cost for this component.
Suppose that the annual demand will be 10000 units. The company operates 250 days/year, with two...
Suppose that the annual demand will be 10000 units. The company operates 250 days/year, with two 8-hour shifts a day. Management believes that a capacity cushion of 15% is the best. Average lot site is 50 units and the standard processing time is 0.5 hours. Each lot requires 0.2 hours standard set up time. How many production line would be needed to compensate the demand?(15pts)
A metal part for which annual demand is 180,000 units is made on a CNC machine...
A metal part for which annual demand is 180,000 units is made on a CNC machine at a rate of 270 parts per hour. It can be made using tool steel costing $0.30 per pound or using brass stock costing $1.40 per pound. The weight per steel piece is 0.0353 pounds and the weight per brass piece is 0.0384 pounds. When it is made using steel, it was found that 50% of the parts made per hour are defect-free; when...
Suppose the annual risk-free rate is 1%. The expected annual return on IBM stock and its...
Suppose the annual risk-free rate is 1%. The expected annual return on IBM stock and its standard deviation is 5% and 0.25%, respectively. If a portfolio consisting of the risk-free asset and IBM stock yields a 2% annual return, what is the risk of the portfolio as measured by standard deviation? a. 0.0345%. b. 0.0425%. c. 0.0515%. d. 0.0625%. e. None of the above.
Problem 2. The annual demand for a product is 15,600 units. The weekly demand is 300...
Problem 2. The annual demand for a product is 15,600 units. The weekly demand is 300 units with a standard deviation of 90 units. The cost to place an order is $31.20, and the time from ordering to receipt is four weeks. The annual inventory carrying cost is $0.10 per unit. Find the reorder point necessary to provide a 98 percent service probability. Suppose the production manager is asked to reduce the safety stock of this time by 50 percent....
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT