Question: ( 1 5 pts ) Joe Henry's machine shop uses 2 , 5 0 0 brackets during the course of a year. These brackets are
pts Joe Henry's machine shop uses brackets during the course of a year. These brackets are
purchased from a supplier miles away. The following information is known about the brackers:
a pts Given the above information, what would be the economic order quantity EOQ
b pts Given the EOQ what would be the annual inventory holding cost?
c pts Given the EOQ what would be the annual ordering cost?
d pts Given the EOQ, what is the total annual inventory cost including purchasing costs?
e pts Given the following price breaks for purchasing the item, what would be the optimal order
quantity?
f pts Given Suppose the annual demand is normally distributed with standard deviation of
What reorder point should they use to achieve service level?
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