Study Guide Ch 14 (Chase, Level, Mixed, Revenue Model, MRP with EOQ, POQ), Ch 18 (Kanban, breakdowns, planning for regular maintenance, takt time) Problem 4: For item C, the setup cost is $250 per setup and the inventory carrying cost is $0.90 per unit per week. Determine the lot sizes and total cost for this item under (ii) EOQ, and (iii) POQ methods. Let lead time be 2 weeks (i) EOQ LT = Item Week: 1 2 3 4 5 6 7 8 NO Gross requirement 250 200 200 250 500 300 400 150 0 100 0 O 0 0 Scheduled receipts Projected on- 100 hand Net Requirement Planned receipts Planned order releases Study Guide Ch 14 (Chase, Level, Mixed, Revenue Model, MRP with EOQ, POQ), Ch 18 (Kanban, breakdowns, planning for regular maintenance, takt time) POQ LT = Item Week: 1 2 3 4 5 6 7 8 Gross requirement 250 200 200 250 500 300 0 400 150 0 100 0 0 O 0 Scheduled receipts Projected on- 100 hand Net Requirement Planned receipts Planned order releases