All correct answers are given, please show step to step calculation, thank you.

Week 7

Question 8

John's Used Motorcycle Emporium wants to decide the best order size when ordering more motorcycles. They have estimated annual demand for their vehicles at 1,000 units. John's cost to carry one motorcycle is $100 per year per unit and he estimates that each order costs $25 to place. Using EOQ, how many should John order each time?

The correct answer is : 23

Q 10

Rob's Exotics But Cheap Motors, a used car dealership, sold 8,280 cars last year and typically buys his cars from automobile auctions. The lead time from auction to delivery on Rob's car lot is 12 days and his order costs are $20,000 per shipment. Auctions are held daily (assume 360 times a year). Rob's average annual holding cost is $700 per car. Also assume that Rob expects to sell another 8,280 cars this year. Using this information develop and inventory policy for Rob (ROP and EOQ). Choose from the best answer below.

The correct answer is : ROP = 276, Q = 688

Q13

DJ's drone outlet wants to decide the lowest cost order size when ordering more drones from their manufacturer. Annual demand for their drones is at 1,000 units. the cost to carry one drone is $.50 per year per unit and DJ estimates that each order costs $10 to place. To minimize inventory costs, how many should DJ order each time?

The correct answer is : 200

Q14

Bills Bookstore places orders Wall Calendars once a year, approximately 6 months before the holiday season. Bill best estimate of demand is as follows:

DemandProbably

10 or less.30

11 to 20.25

21 to 30.20

31 to 40.15

41 to 50.10

Bills calendar supplier sells calendars inlots of 10. Each lot costs $27, but calendars are sold individually to customers at $5.79 (each). Calendars unsold after the new year starts are sold to a discounter for $.50 each. How many calendars should Bill order if he intends to maximize his expected profits.

NOTE: To solve this problem use the logic of the Newsvendor model but substitute a discrete distribution for a normal distribution.

Group of answer choices

The correct answer is : 30