#$13($a$)$ A company has a productivity of $1\mathrm{.}4.$ What is the cost of inputs $($COGS$)$ associated

with a revenue of $$100,000?($round to two places of decimal$)(8$ points$)$

$($b$)$ The ITR $($Inventory turnover ratio$)$ for a retailer is $5\mathrm{.}5$; given that the retailer uses a

markup of $25\%,$ what is the average inventory if the annual revenue is $$560,000?($this is a

separate question$)(12$ points$)$

#$14$

A project has the following activities with expected time and standard deviation for each

given respectively in parenthesis. $A(12,4),B_{6,1},C(9,2),D(10,3),E(15,4),F(8,3).$A and $B$ have

no predecessors. Applying CPM$,$ the critical path is found to B$-$D$-$E$-$F$.$ If the project contractor

wants to propose a project completion time that she$/$he will be able to fulfill with $98\%$

probability, what time should she propose. $(10$ points$)$

#$15$ Consider a continuous review inventory problem. Annual demand is $25,000$ units. Th

unit cost of the product is $$2\mathrm{.}8$;holding cost per unit,$h,$ is $$0\mathrm{.}8,$ and ordering cost is $$150.$ The

retailer, who doesn't know about EOQ, uses the policy of ordering $2,000$ units every time it

places an order. Individually calculate the annual holding cost and the annual ordering cost.

Note that the order amount is not necessarily the EOQ in this case. $(10$ points$)$