Question: 1. Consider the DRP table below. How much inventory will be available at the end of week 6? (select one) 1 point Week 1 2

1. Consider the DRP table below. How much inventory will be available at the end of week 6? (select one) 1 point Week 1 2 3 4 5 6 Beginning inventory on hand 4314 3340 2366 5192 4218 3229 Demand forecast 974 974 974 974 989 1040 Scheduled order receipts 3800 (week 3) Ending on hand inventory 3340 2366 5192 ? ? ? a. 2,189 b. 3,229 c. 5,192 d. There will be insufficient inventory available in week 6 (i.e. negative inventory) resulting in an out of stock situation. e. There is not enough information to answer the question.

2. Locations 1 and 2 have demand that can be described using the normal (Gaussian) distribution. Location 1 has a mean of 50 and a standard deviation of 5. Location 2 has a mean of 100 and a standard deviation of 10. What is the mean and standard deviation of the combined demands? (show work)

Economic Order Quantity (EOQ) and Total Annual Cost (TAC) 3. Using the below information, how many components should be ordered at a time and how often? Fractional items cannot be ordered. (do not round and show work) 4 points 4 items needed per month. $8000 storage cost for each component per month. $14,000 ordering cost. Classical Decomposition 4. Below is the demand for the first 6 months for product A. Assuming seasonality of one year and assuming the trend equation to be Dt = b0 + b1t + et with b0 = 8; b1 = 3. Calculate the forecast for month 14. What was the seasonal index? (show work) 4 points M1=7 M2=10 M3=15 M4=18 M5=21 M6=10

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