a. Produce utilizing a level strategy at 180 units in which thecompany incurs regular time production costs, inventory chargesand any costs due to the change in the production level from theprevious output level. What is the cost of this strategy?[Select]b. Was there a need to back-order? If so, how many units?[Select]c. Produce utilizing a mixed strategy by producing 160 units everymonth. Then, utilize overtime, and subcontracting to meetdemand. (Don't forget the capacity limitations on overtime andsubcontracting.) What is the cost of this strategy?[Select]d. Based on the mixed strategy, what was the cost of utilizingovertime [Select]e. Based on a strategy of varying the workforce (Chase), what is thetotal cost? [Select]f. Which strategy provides the lowest cost solution?[Select] f. Which strategy provides the lowest cost solution?[Select]ABC Wash, Inc., makes commercial and industrial laundrymachines (the kinds hotels use), and has these aggregate demandrequirements for the next six months. The firm has regularcapacity for 200 units, and overtime capacity of 20 units.Currently, subcontracting can supply up to 40 units per month,but the subcontracting firm may soon be unavailable.Demand for Month M1 is 220, M2 is 195, M3 is 210, M4 is 212,M5 is 230, and M6 is 205. Previous output level is 150 units andthe beginning inventory is 100 units.Back-Ordering $250 per unit permonthcostInventory holding $100 per unit atcostend of monthRegular time cost $1,200 per unitSubcontractingcostOvertime costCost ofincreasing units(hiring)$2,000 per unit$1,500 per unit$200 per unitCost ofdecreasing units $350 per unit(layoffs)a. Produce utilizing a level strategy at 180 units in which thecompany incurstime production costs, inventory chargesand any costs due to the change in the production level from theprevious output level. What is the cost of this strategy?[Select]b. Was there a need to back-order? If so, how many units?

Find the Level Strategy below: a. The Cost of the strategy is $ 1380400 b. Back order Requirement:…

Answered: ABC Wash, Inc., makes commercial and…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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What will be the number of months an order will last with annual demand 4000 units, ordering costs $50 per order and inventory holding cost is $5 per unit per year? Answer Choices: a. 0.84 month b. 0.5 month c. 0.98 month d. 0.99 month
Economic order quantity (Q*) is 4,000 units. Annual demand (D) is 12,000 units. Find number of orders per year (N*) and time between orders (T*) in years. Group of answer choices N*=3 times per year, T* cannot be calculated N*=0.33 times per year, T*= 0.33 weeks N*=17.3 times per year, T*= 3 years N*=3 times per year, T*= 0.33 years N*=3 times per year, T*= 3 years
Please do not give solution in image format thanku What are order cycle costs if annual demand is 8,000 units, with the following order quantities and annual order cost is $97? a. Order quantity of 1,000 = b. Order quantity of 500 = C. Order qty of 8,000 =
Use a mixed strategy - level of procuction (Jan-June) and chase demand (July- September with a support of overtime and sub-contracting not more than two workers and no limid for back orders. Jan 1000 Feb 2750 March 1250 April 1500 May 2250 June 1750 July 2750 August 2250 Sept 2500 Current work force 10 workers Production per worker Inventory holding cost Regular wage rate Overtime wage rate Sub-contracting wage rate Back-ordering wage rate Hiring cost Firing cost Beginning inventory 250 units per month S0.50 per unit per month $50.00 per unit S60.00 per unit $70.00 per unit $90.00 per unit $500 per worker S800 worker per 250 units Mth Regular Production Ending Back Order Demand OT S/k Workers Inventory J F M A. M J J Total Kos (Cost:
Economic order quantity (Q*) is 2,000 units. Annual demand (D) is 12,000 units. Find number of orders per year (N*) and time between orders (T*) in weeks. N*=0.167 times per year, T*= 6 weeks N*=6 times per year, T*= 60.83 weeks N*=6 times per year, T*= 0.167 weeks N*=8.67 times per year, T*= 6 weeks N*=6 times per year, T*= 8.67 weeks
NEED ALL THREE QUESTIONS Item X is a standard item stocked in a company's inventory of component parts. Each year the firm, on a random basis, uses about 2,700 of item X, which costs $25 each. Storage costs, which include insurance and cost of capital, amount to $9 per unit of average inventory. Every time an order is placed for more item X, it costs $6. a. Whenever item X is ordered, what should the order size be? (Round your answer to the nearest whole number.) b. What is the annual cost for ordering item X? (Round your answer to 2 decimal places.) c. What is the annual cost for storing item X? (Round your answer to 2 decimal places.)
Black Instrument Company replenishes highly specialized replacement (service) parts based on statistical reorder point. One part is a 40-mm thumbscrew. Relevant data for the thumbscrew are: Planned stock out frequency= Six per year. Planned lead time = 2 weeks Forecast for next week= 300 Batch size = 400 Standard deviation of demand = 20 (per week) What is the reorder point? What would be the effect on the ROP if lead time were five weeks instead of two? What other factors might impact your decision on when to reorder parts?
23. Norina Corp. Uses 10,500 yards of material X each day to make shirts. It usually takes 10 days from the time Norina orders the material when it is received. If Norina desired a safety stock of 21,000 yards, What is the order point?
The materials manager for a billiard ball maker must periodically place orders for resin, one of the raw materials used in producing billiard balls. She knows that manufacturing uses resin at a rate of 50 kilograms each day, and that it costs $.04 per day to carry a kilogram of resin in inventory. She also knows that the order costs for resin are $100 per order, and that the lead time for delivery is four days. If the order size was 1,000 kilograms of resin, what would be the average inventory level?
Seah Corporation presents the following data: Usage is 400 units per month, cost per order is P20, and carrying cost per unit is P6. Given these data, answer the following questions: (A) What is the economic order quantity? (B) How many orders are required each month? CHOICES A) 32 and (B) 6 (A) 32 and (B) 8 (A) 52 and (B) 6 (A) 52 and (B) 8 (A) 62 and (B) 10
Thomas' Bike Shop, with a 250 day working year, stocks a high-volume item. The average daily demand is 7p units, the lead time is 4 days, and sometimes may take up to 5 days. a. Calculate the re-order point without safety stock. b. Calculate the re-order point with safety stock.
Please provide Handwritten answer. 7. Suppose that a production line operates in such a way that it is possible to apply the economic batch of inventory model. Given D-6400 units per year, Co- $ 100 and Ch- $ 2 per unit. Calculate the minimum cost production lot size for each of the following production rates. a) 8000 units per year b) 10,000 units per year c) 32,000 units per year d) 100,000 units per year

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