QUESTION 5: 11. Managing Inventory throughout the Supply Chain (20 points) Write down your 10-digit student...

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QUESTION 5: 11. Managing Inventory throughout the Supply Chain (20 points) Write down your 10-digit student ID X and Y = the 8th digit and 9th digit of your student ID. Example: If your student ID is 2302018913, then 6X = 69 and 3Y = 31. a) Cristiano Ronaldo has a toy retailer company. The annual demand for its best-selling toy is 10,0XY units. The annual holding cost per unit is $3X, and the cost to place an order is $6Y. The price (cost) from a toy supplier is $100/unit. 1 year = 365 days. No safety stock. (15 points) . Define EOQ in English using your own words. Calculate EOQ Calculate the total inventory cost, i.e., total ordering, holding, and item costs. Suppose the supplier offers the discounted price of the toys at $80/unit (instead of $100/unit) if Cristiano Ronaldo buys 400 toys (instead of EOQ) each time he buys the toys. Using the discounted price, calculate the new total inventory cost, i.e., total ordering, holding, and item costs. Should Cristiano Ronaldo take this offer? Why? (b)Explain the differences(s) between dependent and independent demand. Draw a picture(s) if necessary. Suppose you manage the inventory of a retail store such as Careefour or Matahari Department Store, do you manage independent or dependent demands? Explain. If you manage raw materials, parts, and subassemblies in a manufacturing company such as Toyota or Airbus, do you manage independent or dependent demands? Explain. What is the name of the planning/system/logic/software to manage dependent demands? (5 points) MGMT6297005 - Operations Management Page 5 of 9 QUESTION 5: 11. Managing Inventory throughout the Supply Chain (20 points) Write down your 10-digit student ID X and Y = the 8th digit and 9th digit of your student ID. Example: If your student ID is 2302018913, then 6X = 69 and 3Y = 31. a) Cristiano Ronaldo has a toy retailer company. The annual demand for its best-selling toy is 10,0XY units. The annual holding cost per unit is $3X, and the cost to place an order is $6Y. The price (cost) from a toy supplier is $100/unit. 1 year = 365 days. No safety stock. (15 points) . Define EOQ in English using your own words. Calculate EOQ Calculate the total inventory cost, i.e., total ordering, holding, and item costs. Suppose the supplier offers the discounted price of the toys at $80/unit (instead of $100/unit) if Cristiano Ronaldo buys 400 toys (instead of EOQ) each time he buys the toys. Using the discounted price, calculate the new total inventory cost, i.e., total ordering, holding, and item costs. Should Cristiano Ronaldo take this offer? Why? (b)Explain the differences(s) between dependent and independent demand. Draw a picture(s) if necessary. Suppose you manage the inventory of a retail store such as Careefour or Matahari Department Store, do you manage independent or dependent demands? Explain. If you manage raw materials, parts, and subassemblies in a manufacturing company such as Toyota or Airbus, do you manage independent or dependent demands? Explain. What is the name of the planning/system/logic/software to manage dependent demands? (5 points) MGMT6297005 - Operations Management Page 5 of 9