Question: 1 . Enough with Wal - Mart and their orange juice. A computer manufacturer orders about 1 , 0 0 0 screens every month from

1. Enough with Wal-Mart and their orange juice. A computer manufacturer orders about 1,000 screens every month from the screen manufacturer. Typically, they will use approximately 900 screens each month and adjusts their orders depending on their use. Based on this information, the computer manufacturers safety stock on screen would be approximately how many units?
2. Calculate the expected in-transit quantity for the following scenario. The computer manufacturer sells 24,000 computers per year to Best Buy. The lead time for manufacturing is 30 days (1 month). What is the expected in-transit quantity.
3. A battery manufacturer has a stockroom with 5,000 bolts. They are not being use yet, they are in the back room waiting to be used for production. For the battery manufacturer, these bolts would be considered what type of stock?
4. Now they take 2,000 bolts and bring them to the battery assembly line to use in the production of the batteries. These 2,000 bolts are now what type of stock?
5. A computer manufacturer can produce laptops, desktops, and tablets. They spend $30,000 on supplies and materials to make a batch of desktop computers. What is the weighted cost of capital opportunity cost of the desktops?
6. With $30,000, the computer manufacturer can invest in supplies and materials to manufacture either laptops or tablets (they decide not to produce desktops for now). The $30,000 investment can result in either $200,000 in laptop sales or $250,000 in tablet sales. Assuming they will really do those levels in sales, what is the true opportunity cost of producing laptops?
7. The computer manufacturer can purchase chips from Intel at $50 each for up to 1,000 chips; $48 each for 1,0012,000 and $45 from more than 2,000. To the computer manufacturer, these chips represent what type of cost?

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