Question: QUESTION 5 Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand of 50,000 units,

QUESTION 5 Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand of 50,000 units, an ordering cost of $30 per order, a holding cost of $1 per unit per year, a lead time of 3 weeks, and a standard deviation of demand during load time equal to 225 units (a) How many units should be ordered at a time (rounded to the nearest unit)? (b) What is the reorder point if a 97% order-cycle service level is desired? T - E. TTT Paragraph Arial : 3 (12pt) %D09 EEE33TT. Of Find . 1 LE T. - - >

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand of 50,000 units, an ordering cost of $35 per order, a holding cost of $1...

2. Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand of 50,000 units, an ordering cost of $35 per order, a holding cost of...

Troy Enterprises uses a continuous review inventory control system. The firm operates 5 0 weeks per year, with an annual demand of 5 0 , 0 0 0 units, an ordering cost of $ 3 5 per order, a holding...

"Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand of 50,000 units. The replenishment lead time is 3 weeks from the...

roy Enterprises uses a continuous review inventory control system. The firm operates 5 0 weeks per year, with an annual demand of 5 0 , 0 0 0 units, an ordering cost of $ 3 5 per order, a holding...

Peterson Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year and has the following characteristics for an item: Demand = 50,000 units/year Ordering cost...

1. Consider a firm with an annual demand of 6000 units, a setup cost of $20 per order, and an annual holding cost per unit of $2. If the company purchases 1200 units every time that they order, what...

Question 3- Petromax Enterprises uses a continuous review inventory control system for one of its SKUs. The following information is available on the item. The firm operates 50 weeks in a year....

You are a Project Coordinator at Centennial College You report to Sandy Sun, who is the Project Manager (PM) You are presenting (synchronously) the Project Charter to the new CEO at Centennial...

Identify two ways in which the SBA provides financial assistance to small businesses.

What is the Payment for a $ 2 0 0 , 0 0 0 Annuity for 4 years with a Discount Rate of 1 2 %

As the manager of Smith Construction, you need to make a decision on the number of homes to build in a new residential area where you are the only builder. Unfortunately, you must build the homes...