Question: Based on the historical data, the weekly demand for the americano is normal with mean 1 2 and variance 1 6 ( in bottles )
Based on the historical data, the weekly demand for the americano is normal with mean and variance in bottlesAssume weeks in a year and all excess demand is backordered Question points The cafeteria on campus started to sell high quality instant coffee americano. These instant coffees come in individual packs and cost TLserving and the leadtime for replenishment is weeks. Fixed cost of ordering is about TL and holding cost is TLitem annually The loss of customer goodwill is estimated to be TL per packet can be used as penalty for unsatisfied demand SHOW YOUR WORK! a points How large an order should cafeteria be placing for americano to minimize total cost subject to type service level? at least iterations b What should be the reorder level quantity and expected cycle time? What is the expected time from the receipt of an order until the placement of next order? C b points What level of Type service is being provided by the policy you found in part a
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