Question: Question: 1. The second product is B202. Demand data for Product B202 for the first twelve weeks of the year are provided below 11 12

Question: 1. The second product is B202. Demand data for Product B202 for the first twelve weeks of the year are provided below 11 12 10 9 8 7 6 5 4 3 91 105 2 1 90 100 97 week 102 103 90 120 97 demand Annual demand has been estimated to be 5200. Currently, the company uses a lot size of 200 units, and there is a lead time of 2-weeks. Deliveries are received on the first day of the week and are included in the calculation of the week's beginning inventory. The first delivery for the year is received on Monday of Week 1. The unit cost of 6202 is $16. Ordering cost is $20 per order, and monthly holding cost is 25% of product cost. Stockout cost is estimated to be $25 per unit a Ehtuate the company's current ordering strategy for B202. In your answer, compare the theoretical costs versos actual inventory costs for the frst 12-weeks for the year. (10 marks) b. Recommend an ordering strategy for B202, giving a rationale for your recommendation (4 marks)
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