Question: Please show all work :) I need help completing all problems thank you Problem 1 includes a-f Problem 3 inclues a-c Problem 5 includes a-b

Please show all work :)
I need help completing all problems
thank you
Problem 1 includes a-f
Problem 3 inclues a-c
Problem 5 includes a-b
Problem 6 includies a-c
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
Please show all work :) I need help completing
1. (28 points) Golden Beer Brewery is located in Milwaukee, Wisconsin. For over 50 years now the company has been producing and distributing beer for happy customers across the United States. Current demand for the product is 840,000 six-packs of beer per year. (For this exercise, consider a six-pack to be equivalent one "unit.") The selling price of each six-pack is $3.60. Currently all finished beer is stored and shipped from a warehouse just outside of Milwaukee. Mr. Mick A. Lobe, the supervising manager at the Milwaukee distribution warchouse, has been asked to review the costs associated with current inventory conditions. After talking with Golden accountants, he has determined that the cost of each six-packs of beer is 80% of the selling price. Capital tied up in inventory is 15% of its unit cost. Warehouse, interest, taxes, depreciation, and insurance cost is expressed as 10% of the unit cost. The order processor, Ms. May Kamdrunk, has informed Mick that setup cost per order is $84. (10 pts) What is the EOQ for a six-pack of beer at the Milwaukee warehouse? a. (3 pts) Assuming that the EOQ is ordered, what is the average inventory (in units) at the Milwaukee warehouse? b. (3 pts) Assuming that the EOQ is ordered, what is the annual holding cost? c. (3 pts) Assuming that the EOQ is ordered, what is the annual setup cost? d. (3 pts) What is the annual cycle inventory cost(ordering holding) for the Milwaukee warehouse? e. (3 pts) What is the time between orders (TBO) in months? f. (3 pts) What is the time between orders (TBO) in days, assuming 365 working days per year? 2. (15 points) An automobile manufacturer uses about 60,000 pairs of bumpers (front bumper and rear bumper) per year, which it orders from a supplier. The holding cost is about 20% percentage of the purchasing cost, and it costs $25.00 to place an order. The supplier offers a system of quantity discounts, as follows: order less than 300 pairs(

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!