Given the following data, calculate a level production plan, quarterly ending inventory, and average quarterly inventory. If

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Given the following data, calculate a level production plan, quarterly ending inventory, and average quarterly inventory. If inventory carrying costs are $6 per unit per quarter, what is the annual carrying cost? Opening and ending inventories are zero.

Quarter 1 Totals Quarter 2 Quarter 3 Quarter 4 7000 Forecast Demand 5000 8500 9500 Production Ending Inventory Average I

If the company always carries 100 units of safety stock, what is the annual cost of carrying it?

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Introduction To Materials Management

ISBN: 978-9386873248

8th edition

Authors: Arnold J. R. Tony, Gatewood Ann K., M. Clive Lloyd N. Chapman Stephen

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Question Posted: Jul 01, 2019 08:41 AM

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Given the following data, calculate a level production plan, quarterly ending inventory, and average quarterly inventory. If

Question:

Quarter 1 Totals Quarter 2 Quarter 3 Quarter 4 7000 Forecast Demand 5000 8500 9500 Production Ending Inventory Average Inventory Inventory Cost

Step by Step Answer:

Annual cost of carrying safety stock 6 4 100 2400 Forecast ...View the full answer

Introduction To Materials Management

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