Question: After reviewing the case, please ensure that your data match those below. All other details are correct... EXHIBIT 2 : COST DATA AVAILABLE FOR COCOA

After reviewing the case, please ensure that your data match those below. All other details are correct...
EXHIBIT 2: COST DATA AVAILABLE FOR COCOA POWDER
Holding cost (% of the cost/year)40%
Ordering cost (INR/order)1000
Quantity in kg Price (INR/kg)
1 to 2000120.30
2001 to 4000120.20
4001 to 5999120.10
6000 or more 120.00
EXHIBIT 3: COST DATA AVAILABLE FOR COCOA BUTTER
Holding cost 30%
Ordering cost (INR/order)1200
Quantity in kg Price (INR/kg)
1 to 100072.06
1001 to 200072.05
2001 to 299972.03
3000 or more 72.02
EXHIBIT 4: COST DATA AVAILABLE FOR DARK CHOCOLATE
Holding cost 35%
Ordering cost (INR/order)800
Quantity in kg Price (INR/kg)
1 to 1250105.35
1251 to 2500105.30
2501 to 3749105.25
3750 or more 105.20
EXHIBIT 5: COST DATA AVAILABLE FOR DRY-FRUITS AND NUTS
Holding cost 25%
Ordering cost (INR/order)2100
Quantity in kg Price (INR/kg)
1 to 250090.25
2501 to 500090.20
5001 to 749990.15
7For this first question, assume you are the (only) customer of Toffee Inc., and all of the demand (an average of 13,948(rounded) cartons per year) is yours. (This is not the case, but it makes these calculations easier...)
What is the cost per order? (note: in the case, it appears as a cost to Toffee Inc.)
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INR
What is the cost per case?
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What is the holding cost percentage cited in the case?
[ Select ]
per month, or
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What is the annual holding cost in INR?
[ Select ]
What is the EOQ for you as the customer of Toffee Inc.?
Now you are part of Toffee Inc.. First, let's assess your annual demand.
Based on 2011 actuals, your total demand is 17,250 cartons.
Each carton consists of
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bags, and each bag has
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bars.
So, the total bars needed (cartons*bags*bars) is
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.
Each bar weighs
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grams.
Now you are part of Toffee Inc. and are planning on ordering your ingredients.
For cocoa powder:
Each bar requires
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grams of cocoa powder.
This means a total of
[ Select ]
grams/kilograms of cocoa powder are needed. (Formula: total bars required from above * grams of material per bar. 1,000 grams =1 kg)
There is a variable holding cost of
[ Select ]
% and an ordering cost of
[ Select ]
INR.
After conducting an EOQ analysis with quantity discounts, you conclude that ordering
[ Select ]
kgsFor cocoa butter:
Each bar requires
[ Select ]
grams of cocoa butter.
This means a total of
[ Select ]
grams/kilograms of cocoa butter are needed. (Formula: total bars required from above * grams of material per bar. 1,000 grams =1 kg)
There is a variable holding cost of
[ Select ]
% and an ordering cost of
[ Select ]
INR.
After conducting an EOQ analysis with quantity discounts, you conclude that ordering
[ Select ]
kgs at a time is the optimal solution.
For dark chocolate:
Each bar requires
[ Select ]
grams of dark chocolate.
This means a total of
[ Select ]
grams/kilograms of dark chocolate are needed. (Formula: total bars required from above * grams of material per bar. 1,000 grams =1 kg)
There is a variable holding cost of
[ Select ]
% and an ordering cost of
[ Select ]
INR.
After conducting an EOQ analysis with quantity discounts, you conclude that ordering
[ Select ]
kgFor dry fruit and nuts:
Each bar requires
[ Select ]
grams of dry fruit and nuts.
This means a total of
[ Select ]
grams/kilograms of dry fruit and nuts are needed. (Formula: total bars required from above * grams of material per bar. 1,000 grams =1 kg)
There is a variable holding cost of
[ Select ]
% and an ordering cost of
[ Select ]
INR.
After conducting an EOQ analysis with quantity discounts, you conclude that ordering
[ Select ]
kgs at a time is the optimal solution.

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