Question: please show excel formulas with all work given Question Set 1. You are an inventory management consultant. You have been hired by Walmart to help

please show excel formulas with all work givenplease show excel formulas with all work given

Question Set 1. You are an inventory management consultant. You have been hired by Walmart to help optimize inventory management for their Dairy department. Your immediate task is building a Monte Carlo simulation for sales of Milk, Eggs and Cheese. The probabilities of monthly demand levels are: Eggs 268 299 302 Probability 0.05 0.10 0.15 0.05 0.15 0.10 0.15 0.10 0.10 0.05 Milk 184 200 224 240 258 280 318 310 345 368 378 400 411 444 Cheese 288 318 330 350 362 376 392 413 450 490 304 358 374 The unit revenues and costs are given in the table below. Product Milk Eggs Cheese Unit Revenue $1.86 $2.79 $3.39 Unit Cost $1.18 $1.98 $2.15 Each product has a separate display with an associated fixed monthly cost: Product Fixed Monthly Display Cost Milk $100 Eggs $200 Cheese $300 1. (5pts) Build a table for the cumulative probability distribution for demand. It should be set up for use with the VLOOKUP function, with the cumulative probabilities on the left. 2. (15pts) Build a table for tracking sales over one year (Jan 2021-Dec 2021) with separate columns for Milk, Eggs and Cheese. This will just be the randomized demand value for each item for each month (like in 10.1.2 from the lab exercise on Monte Carlo simulations). For this assignment, assume all demand is actually met (that is, sales = demand) and there is no other inventory loss except through sales. 3. (10pts) Build a table for tracking total revenues, costs, and profit for the year. This table should use the information provided in your answer to 2., above. Your table should calculate values for: Total Revenue (based on the combined sales of all three products over the year) Total Cost (also based on combined sales, and including cost of goods sold and fixed costs) Profit/Loss (total revenue minus total costs) 4. (10pts) Create a data table to generate 50 runs of the simulation and calculate the average profit of the 50 simulation runs. As in previous assignments, this must be an actual data table structure to earn full credit. Calculate the average profit over the 50 simulation runs

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!