Identify the different types of inventories (raw materials, work in process, and finished goods) carried in the following organizations: gas station, hamburger stand, clothing store, and machine shop. What functions (purposes) do these inventories perform?
Answer to relevant QuestionsA student was overheard saying, "The EOQ model assumptions are so restrictive that the model would be hard to use in practice." Is it necessary to have a different model for each variation in assumptions? Why or why not? Why can the item cost be dropped from the simple EOQ formula? Are item costs important when quantity discounts are given? Why? The Toyota dealer from problem 3 is considering installing either a Q or a P system for inventory control. The standard deviation of demand has been 4 units per month, and the replenishment lead time is two months. A 95 ...The famous Widget Company sells widgets at the rate of 80,000 units per year. Each widget sells for $100, and it costs 30 percent to carry widgets in inventory for a year. The process of widget production has been automated ...In what ways do independent-demand inventories differ from dependent-demand inventories?
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