5)

Economic Order Quantity

Use the EOQ formula to solve

Calculate RBS Companys EOQ for their top selling Pen Set using the following information:

• RBS Company expects to sell 300 Pen Sets per month for the next 12 months.

• RBS Company purchases the Pen Sets from a supplier for $50 dollars each and incurs a cost of $100 dollars for each order that they place

• RBS Company estimates that their inventory carrying cost is 24% annually.

Round to the nearest whole number

6)

Reorder Point (

Use the Reorder Point formula to solve

Calculate RBS Companys Reorder Point, including safety stock, for their top selling Pen Set using the following information:

• Demand (D) is 150 Pen Sets per month (30 days = 1 month).

• Lead Time (LT) from Supplier X is 10 days.

• Safety Stock (SS) is 125 Pen Sets.

5 10 points Economic Order Quantity (Refer to Slide 38 in Chapter 04 -or- Pages 117 through 120 in the textbook) Use the EOQ formula to solve Calculate RBS Company's EOQ for their top selling Pen Set using the following information: RBS Company expects to sell 300 Pen Sets per month for the next 12 months. RBS Company purchases the Pen Sets from a supplier for $50 dollars each and incurs a cost of $100 dollars for each order that they place RBS Company estimates that their inventory carrying cost is 24% annually. Round to the nearest whole number Type your answer... 6 10 points Reorder Point (Refer to Slides 29 through 31 in Chapter 04 -or- Pages 114 and 115 in the textbook) Use the Reorder Point formula to solve Calculate RBS Company's Reorder Point, including safety stock, for their top selling Pen Set using the following information: Demand (D) is 150 Pen Sets per month (30 days = 1 month). Lead Time (LT) from Supplier X is 10 days. Safety Stock (SS) is 125 Pen Sets. Type your