Question $23$

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A large bakery buys flour in $25$kg bags. The bakery uses $4,860$ bags a year and this demand rate per year is a constant. For each order, the order lead time is a constant and it is $30$ days $($we assume that each year is $365$ days$).$ The fixed cost for each order is $$10.$ Annual holding cost is $$5$ per flour bag.$$

What is the optimal number of bags to order?$$

Question $23$ options:

$239$ bags

$210$ bags

$139$ bags

$136$ bags

Question $24$

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Refer to the information in Q$23.$

What is the re$-$ordering point $($ROP$)?$

Question $24$ options:

$132$ bags

$431$ bags

$230$ bags

$399$ bags

Question $25$

$$

Refer to the information in Q$23.$

What$$s the average inventory level under optimal decisions in Q$24$ and Q$25?$

Question $25$ options:

$69\mathrm{.}5$ bags

$119\mathrm{.}5$ bags

$105$ bags

$68$ bags

Question $26$

$$

Refer to the information in Q$23.$

How many orders per year will there be$?$

Question $26$ options:

$34\mathrm{.}96$ orders

$20\mathrm{.}33$ orders

$13\mathrm{.}14$ orders

$35\mathrm{.}74$ orders

Question $27$

$$

Refer to the information in Q$23.$

If the fixed ordering cost were to increase by $50$ percent per order, by what percentage would the EOQ order quantity change?

Question $27$ options:

$15\%$

$19\%$

$23\%$

$32\%$