Question: . Consider the bolt example from Problem 4 yet again, assuming that the demand of 6 0 per week is correct. Now, however, suppose the
Consider the bolt example from Problem yet again, assuming that the demand of per
week is correct. Now, however, suppose the minimum reorder interval is one month and all
order cycles are placed on a powerof multiple of months that is one month, two months,
four months, eight months, etc. in order to permit truck sharing with orders of other parts.
a What is the leastcost reorder interval under this restriction?
b How much does this add to the total cost?
c How is the effectiveness of powersof order intervals related to the result of the
previous problem regarding the effect of demand forecasting errors?
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