Item$6$

$1$

points

eBookHintReferencesCheck my workCheck My Work button is now enabled$100$Item $6$

Problem $11-17($Algo$)$

Jill's Job Shop buys two parts $($Tegdiws and Widgets$)$ for use in its production system from two different suppliers. The parts are needed throughout the entire $52-$week year. Tegdiws are used at a relatively constant rate and are ordered whenever the remaining quantity drops to the reorder level. Widgets are ordered from a supplier who stops by every two weeks. Data for both products are as follows:

ITEM TEGDIW WIDGET

Annual demand $7,00010,000$

Holding cost $(\%$ of item cost$)30\%30\%$

Setup or order cost $$190\mathrm{.}00$ $$10\mathrm{.}00$

Lead time $7$ weeks $2$ week

Safety stock $45$ units $9$ units

Item cost $$5$ $$6$