Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying costs. How...

Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying costs. How valid are they?

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orchestra answered 2 years ago

Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying cost. How...

Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying cost. How valid are they?

List and describe the types of carrying costs and ordering costs?

Explain the tradeoff between setup cost and carrying cost.

7. The costs of carrying inventory include all of the following except: * a- Ordering costs....

7. The costs of carrying inventory include all of the following except: * a- Ordering costs. b- Cost of warehouse space. c- Insurance and handling costs. d- Interest on funds tied up in inventory. e- None of the above. 8. Once the break-even point is reached: * a- The contribution margin ratio begins to decrease. b- The variable expenses will remain constant in total. c- The total contribution margin changes from negative to positive. d- The net operating income will...

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs....

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs. T. True F. False 2- The Economic Order Quantity (EOQ) model tells us........ A. how much to order B. which are higher - holding or ordering costs C. how to use price discounts D. when to order 3- When tracking or counting inventory items, we should focus on which items most? A. A-items B. B-items C. C-items D. D-tems 4- The Economic Order Quantity...

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs....

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs. T. True F. False 2- The Economic Order Quantity (EOQ) model tells us........ A. how much to order B. which are higher - holding or ordering costs C. how to use price discounts D. when to order 3- When tracking or counting inventory items, we should focus on which items most? A. A-items B. B-items C. C-items D. D-tems 4- The Economic Order Quantity...

Six categories of costs associated with inventories are purchasing costs, ordering costs, carrying costs, stock out...

Six categories of costs associated with inventories are purchasing costs, ordering costs, carrying costs, stock out costs, quality costs, and shrinkage. Assume you are seasoned manager training new employees about the importance of inventory management. In 200 words or more, describe at least two of these inventory costs. Include specific examples in order to effectively explain these concepts.

An annual demand for an item is 500 units, ordering cost is 8 $, inventory carrying...

An annual demand for an item is 500 units, ordering cost is 8 $, inventory carrying interest is 20% of the purchase price per year. Purchase prices are as follows as proposed by the vendor/supplier; where the value of unit cost=10 without any discount? Discount 0% 000≤Q<300 Discount 2% 300≤Q<450 Discount 3% 450≤Q

An annual demand for an item is 500 units, ordering cost is 8 $, inventory carrying...

An annual demand for an item is 500 units, ordering cost is 8 $, inventory carrying interest is 20% of the purchase price per year. Purchase prices are as follows as proposed by the vendor/supplier; where the value of unit cost=10 without any discount? Discount 0% 000≤Q<300 Discount 2% 300≤Q<450 Discount 3% 450≤Q a) for inventory model with no discount====================================================================== a1) The economic order quantity = [EOQ] units a2) The total ordering costs = [TOC] $ a3) The total...

Daily demand is normally distributed with mean 22 units and SD=6. Ordering cost is $21/order, carrying...

Daily demand is normally distributed with mean 22 units and SD=6. Ordering cost is $21/order, carrying cost is $2.5 per unit per year. The item is used 365 days a year. Order lead time is 4 days. The order point should have a 99% target service level. Find: -avg inventory level -avg number of orders/yr -avg number of stockouts/yr -avg time (years) between stockouts Policy I is the (Q,R) policy determined above. Policy II: Increase the order quantity by 10...

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Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying costs. How...

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Discuss the assumptions that are inherent in production setup cost, ordering cost and carrying cost. How...

List and describe the types of carrying costs and ordering costs?

Explain the tradeoff between setup cost and carrying cost.

7. The costs of carrying inventory include all of the following except: * a- Ordering costs....

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs....

1- Inventory costs include all of these: purchase costs, holding or carrying costs, and ordering costs....

Six categories of costs associated with inventories are purchasing costs, ordering costs, carrying costs, stock out...

An annual demand for an item is 500 units, ordering cost is 8 $, inventory carrying...

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Daily demand is normally distributed with mean 22 units and SD=6. Ordering cost is $21/order, carrying...