a) If you are an engineer for an automobile company, the annual requirements for spare parts are 3800 units for the assembly section. The cost of each item is 10 RO and the ordering cost is 0.35 RO. Storage cost is 14 % of an item cost. Find a-i) Economic order quantity. a-ii) Optimum cost. b) In the above problem if the supplier is offering a discount of 18 % of the item cost, the storage cost will increase to 15 %. then, Find: b-i) Economic order quantity; b-ii) Optimum cost. a-i) Economic order quantity a-ii) Optimum cost b-i) Economic order quantity b-ii) Optimum cost

Elements Of Electromagnetics
7th Edition
ISBN:9780190698614
Author:Sadiku, Matthew N. O.
Publisher:Sadiku, Matthew N. O.
ChapterMA: Math Assessment
Section: Chapter Questions
Problem 1.1MA
icon
Related questions
Question
100%
a) If you are an engineer for an automobile company, the annual requirements for spare parts are 3800 units for the assembly section.
The cost of each item is 10 RO and the ordering cost is 0.35 RO. Storage cost is 14 % of an item cost. Find
a-i) Economic order quantity.
a-ii) Optimum cost.
b) In the above problem if the supplier is offering a discount of 18 % of the item cost, the storage cost will increase to 15 %. then, Find:
b-i) Economic order quantity;
b-ii) Optimum cost.
a-i) Economic order quantity
a-ii) Optimum cost
b-i) Economic order quantity
b-ii) Optimum cost
Transcribed Image Text:a) If you are an engineer for an automobile company, the annual requirements for spare parts are 3800 units for the assembly section. The cost of each item is 10 RO and the ordering cost is 0.35 RO. Storage cost is 14 % of an item cost. Find a-i) Economic order quantity. a-ii) Optimum cost. b) In the above problem if the supplier is offering a discount of 18 % of the item cost, the storage cost will increase to 15 %. then, Find: b-i) Economic order quantity; b-ii) Optimum cost. a-i) Economic order quantity a-ii) Optimum cost b-i) Economic order quantity b-ii) Optimum cost
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Refrigeration and Air Conditioning
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, mechanical-engineering and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Elements Of Electromagnetics
Elements Of Electromagnetics
Mechanical Engineering
ISBN:
9780190698614
Author:
Sadiku, Matthew N. O.
Publisher:
Oxford University Press
Mechanics of Materials (10th Edition)
Mechanics of Materials (10th Edition)
Mechanical Engineering
ISBN:
9780134319650
Author:
Russell C. Hibbeler
Publisher:
PEARSON
Thermodynamics: An Engineering Approach
Thermodynamics: An Engineering Approach
Mechanical Engineering
ISBN:
9781259822674
Author:
Yunus A. Cengel Dr., Michael A. Boles
Publisher:
McGraw-Hill Education
Control Systems Engineering
Control Systems Engineering
Mechanical Engineering
ISBN:
9781118170519
Author:
Norman S. Nise
Publisher:
WILEY
Mechanics of Materials (MindTap Course List)
Mechanics of Materials (MindTap Course List)
Mechanical Engineering
ISBN:
9781337093347
Author:
Barry J. Goodno, James M. Gere
Publisher:
Cengage Learning
Engineering Mechanics: Statics
Engineering Mechanics: Statics
Mechanical Engineering
ISBN:
9781118807330
Author:
James L. Meriam, L. G. Kraige, J. N. Bolton
Publisher:
WILEY