Question: Solve in excel Bell computers purchases IC chips from a supplier at $ 3 5 0 / chip . The holding cost has been estimated
Solve in excel Bell computers purchases IC chips from a supplier at $chip The holding cost has been estimated to be of purchase price. It has estimated that Bell will need chips per year. Bell operates day per year. The company wants to maintain a service level of Data from supplier: The cost of placing an order is $order The supplier promises an average lead time of ten days with a standard deviation of days. Based on past Bell has estimated that daily demand during lead time is normally distributed with a mean of and a standard deviation of The supplier has promised the following discount schedule if Bell orders larger quantities: Vendor Quantity Discount What is the order quantity? What is the safety stock? What is the reorder point? What is the total cost including cost of purchasing the parts?
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