Question: !!! I posted the wrong question in the first picture !!! Do only the problem on Phillip Flamm NOT Thomas Kratzer! Thomas Kratzer is the

!!! I posted the wrong question in the first picture !!!

Do only the problem on Phillip Flamm NOT Thomas Kratzer!

Thomas Kratzer is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operation. Thomas's fastest-moving inventory item has a demand of 5,900 units per year. The cost of each unit is $97, and the inventory carrying cost is $9 per unit per year. The average ordering cost is $31 per order. It takes about 5 days for an order to arrive, and the demand for 1 week is 118 units. (This is a corporate operation, and there are 250 working days per year). a) What is the EOQ? units (round your response to two decimal places) b) What is the average inventory if the EOQ is used? units (round your response to two decimal places). c) What is the optimal number of orders per year? orders (round your response to two decimal places). d) What is the optimal number of days in between any two orders? days (round your response to two decimal places) e) What is the annual cost of ordering and holding inventory? $ per year (round your response to two decimal places). per year (round your response to two decimal f) What is the total annual inventory cost, including the cost of the 5,900 units? $ places) Phillip Flamm's Computer Store in Texas sells a printer for $210. Demand is constant during the year, and annual demand is forecasted to be 480 units. Holding cost is $40 per unit per year, whereas the cost of ordering is $35 per order. Currently, the company is ordering 12 times per year (40 units each time). There are 250 working days per year, and the lead time is 7 days. a) Given the current policy of ordering 40 units at a time, the total of the annual ordering cost and the annual holding cost is $ (round your response to the nearest whole number). (round your response to the b) If the company used the absolute best inventory policy, the total of ordering and holding cost is $ nearest whole number). c) The reorder point is units (round your response to the nearest whole number)

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