Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 16 Feb 2018 My Price 4.00

planned shortage inventory policy

Suppose the XYZ Company, which has an annual demand of 12,000 units per year, order cost of $25, and annual holding cost per unit of $0.50, decides to operate with a planned shortage inventory policy with the backorder cost estimated as $5 per unit per year.

a. Determine the EOQ.

b. Determine the maximum number of backorders.

c. Determine the maximum inventory level.

d. Determine the cycle time in workdays (assume 250 workdays per year).

e. Determine the total inventory cost per year.

Answers

Maurice Tutor
(5)
Status NEW Posted 16 Feb 2018 04:02 PM My Price 4.00

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