Question: Please take a quick turn. This is not a newboys problem. It is an annual R Q policy problem. thank you. Problem 1: A distributr

Please take a quick turn. This is not a newboys

Please take a quick turn. This is not a newboys problem. It is an annual R Q policy problem. thank you.

Problem 1: A distributr sells electric can openers. Demand is approximatelly 6000 units per year and is approximately constant throughout the year. These can openers cost $20 each, and the annual inventory carrying cost rate is 30 percent. It costs $150 to place an order. All shortages are backordered at a one-time cost of $50 per unit. Historically, demand during a lead time is uniformly distributed between 100 and 200 units. Because the distributor uses a bar-coding system, she believes that a (Q, R) system would be best to control ordering and stocking can openers. a) What value of Q and R would you recommend ? b) Find the associated total cost

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