Question: please show work Reliant Auto estimates the annual demand for its newest model is 60.000 units, the cost of order preparations is 555.000, the inventory
please show work
Reliant Auto estimates the annual demand for its newest model is 60.000 units, the cost of order preparations is 555.000, the inventory carrying cost per car per year is 55,000 and the order lead-time is 1 month. Reliant keeps 500 units of safety stock. What is the Economic Order Quantity? Approximately what is the order frequency? -What is the demand during lead-time? What is the Maximum Inventory Level Reliant should have, assuming orders arrive on time and inventory is depleted as predicted? What is the Minimum inventory level should have, assuming orders arrive on time and Inventory is depleted as predicted? A jewelry store determines that the average demand for a diamond necklace it keeps in stock is 4 per period and the average demand during lead time is 3 per period. What is the standard deviation of demand during replenishment of the necklace if the standard deviations of demand per period and lead time are 1.2 and 1S respectively
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