Question

In: Operations Management

Cesar Rego Computers, a Mississippi chain of computer hardware and software retail outlets, supplies both educational...

Cesar Rego Computers, a Mississippi chain of computer hardware and software retail outlets, supplies both educational and commercial customers with memory and storage devices. It currently faces the following ordering decision relating to purchases of very high-density disks:

D = 36,000 disks

S = $25

H = $0.45

Purchase price = $0.85

Discount price = $0.82

Quantity needed to qualify for the discount = 6,000 disks

Should the discount be taken?

Solutions

Expert Solution

  1. Baroki Enterprise has the following 10 items in inventory. Theodore Bareki ask you, a recent OM graduate to divide these item item into ABC classification
    (Jay Heizer, Barry Render., Operations management., Pearson.,Tenth Edition, page 532, Problems 12.2)
    soal jawab inventory no 1
  2. Jean- Marie Bourjolly’s restaurant has the following inventory items that on a weekly basis.
    a)    Which is the most expensive item using annual dollar volume
    b)    Which is are C items
    c)    What is the annual dollar volume for all items
    (Jay Heizer, Barry Render., Operations management., Pearson.,Tenth Edition, page 532, Problems 12.3)
    soal jawab inventory no 2

3. William Beville’s computer training school, in Richmond, stocks workbooks wth the following characteristic:
Demand (D) = 19,500 units/year
Ordering cost (S) = $ 25/order
Holding coat (H) = $ 4/unit/year
a)    Calculate the EOQ for the workbooks
b)    What are the annual holding costs for the workbooks?
c)    What are the annual ordering costs?
(Jay Heizer, Barry Render., Operations management., Pearson.,Tenth Edition, page 532, Problems 12.5)
soal jawab inventory no 3


4. Thomas Kratzer is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operation. Thomas’s fastest moving inventory item has a demand of 6,000 units per year. The cost of each unit is $100 and the inventory carrying cost is $10 per unit per year. The average ordering cost is $ 30 per order. It takes about 5 days for an order to arrive and the demand for 1 week is 120 units (this is a corporate operation and there are 250 working days per year)
a)    What is the EOQ
b)    What is the average inventory if the EOQ is used?
c)    What is the optimal number of orders per year?
d)    What is the optimal number of days in between any two orders?
e)    What is the annual cost of ordering and holding inventory?
f)     What is the total annual inventory cost including cost of the 6,000 unit?
(Jay Heizer, Barry Render., Operations management., Pearson.,Tenth Edition, page 533, Problems 12.12)
soal jawab inventory no 4

5. Radovilsky Manufacturing Company, in Hayward, California makes flashing lights for toys. The company operates its production facility 300 days per year. It has order for about 12,000 flashing lights per year and has capability of producing 100 per day. Setting up the light production costs $ 50. The cost of each light is $ 1. The holding cost is $0.10 per light per year
a)    What is the optimal size of production run?
b)    What is the average holding cost per yea?r
c)    What is the average setup cost per year?
d)    What is the total cost per year, including the cost of the light?
(Jay Heizer, Barry Render., Operations management., Pearson.,Tenth Edition, page 533, Problems 12.17)
soal jawab inventory utk file no 5


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