Question: ShreCom Inventory System ShreCom is a computer retail store specializing in sales and service of computing devices. Past information indicates that the demand rate for
ShreCom Inventory System
ShreCom is a computer retail store specializing in sales and service of computing devices. Past information indicates that the demand rate for the computing devices is constant. Annual demand is forecasted to be It is further estimated that the holding cost is percent of the cost of the computing device $ per set and the ordering cost is $ per order. Lead time is day and the store is open days per year. Analyze the inventory system for ShreCom store.
EOQ Model Case #continued
HW #:
Max Inventory Level on Hand
dec pl
Min Inventory Level on Hand
dec pl
Avg Inventory Level on Hand
dec pl
HW #: Give an interpretation of "the average inventory level on hand" with value. Be complete and specific.
EOQ Model Case #conti
HW #: Compute the value of THC
HW #: Compute the value of total purchase cost in one year.
HW #: Compute the value of Cycle Time. Interpretation?
EOQ Model Case #conti
HW #: Compute the value of ROP.
HW #: Give an interpretation of ROP with value. Be complete and specific.
HW #: Cycle Time in EOQ must be a constant. Explain Why?
HW #: ROP in EOQ must be a constant. Explain Why?
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