Joe Henry\'s machine shop uses 2,460 brackets during the course of a year. These

Question

Joe Henry's machine shop uses 2,460 brackets during the course of a year. These brackets are purchased from a supplier 90 miles away. The following information is known about the brackets Annual demand Holding cost per bracket per year Order cost per order Lead time Working days per year 2,460 $1.35 $18.50 2 days 250 a) What is the EOQ 259.67 units (round your response to two decimal places). b)What is the average inventory ithe EOQ is used? 129.83 units (round your response to two decimal places). What would be the annual inventory holding cost? $ 175.27 (round your response to two decimal places). c)Given the EOO, how many orders will be made annually? 9.47 orders(round your response to two decimal places). What would be the annual order cost? $ 175.26 (round your response to two decimal places). d Gven the EOQ, what is the total annual cost of managing ordering and holding the inventory? S 350.54 round your response to two dec mal places e)What is the time between orders? 26.39 days (round your response to two decimal places). What is the reorder point (ROP)? units (round your response to two decimal places)

Explanation / Answer

Reorder point= average daily demand* lead time

= (2460 ÷ 250) × 2 days

= 19.68

Related Questions

Navigate

• Browse (All)
• Browse J
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.