SUBJECT- OPERATIONS MANAGEMENT

**Solve all three questions. Provide handwritten solution. If you provide wrong solution then i will dislike you.**

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21. Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normal distribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week. The new manager desires a service level of 90 percent. Lead time is two days, and the dairy is open seven days a week. (Hint: Work in terms of weeks.) a Fan ROP model is used, what ROP would be consistent with the desired service level? How many days of supply are on hand at the ROP, assuming average demand? b. Fa fixed-interval model is used instead of an ROP model, what order size would be needed for the 90 percent service level with an order interval of 10 days and a supply of 8 gallons on hand at the order time? What is the probability of experiencing a stockout before this order arrives? c. Suppose the manager is using the ROP model described in part a. One day after placing an order with the supplier, the manager receives a call from the supplier that the order will be delayed because of problems at the supplier's plant. The supplier promises to have the order there in two days. After hanging up, the manager checks the supply of walnut fudge ice cream and finds that 2 gallons have been sold since the order was placed. Assuming the supplier's promise is valid, what is the probability that the dairy will run out of this flavor before the shipment arrives? The investments of Mr.X on 1st April, 2018 were as given below: (a) * 20,000, 10% U.P. Govt. Loan; (b) + 12,500, 10% Improvement Trust Debentures purchased at par on 1st Nov., 2017; (c) + 7,500, 10% Debentures of a Jute Mill Company; (d) + 1,000 Interest on Debentures of a Co-operative Society. On 1st October, 2018 he sold his Improvement Trust Debentures for 11,625 and purchased * 20,000, 12% Port Trust Bonds, for which he took a loan of 10,000 @ 15% per annum. The bank commission for buying and selling securities was 1% on face value and for collecting interest ? 20. During the year he inherited 5,000, 12% Mumbai Govt. Loan from his father who died on 1st December, 2018. Such interest being payable in each case on 1st January and 1st July. Find out his income under the heads 'Capital Gains' and 'Income from Other Sources' for the Assessment Year 2019-20. 9. One field representative services five customers for a computer manufacturer. Customers request assistance at an average (Poisson-distributed) rate of once every four working days. The field rep- esentative can handle an average (Poisson-distributed) of one call per day. Determine: a. The expected number of customers waiting h. The average length of time customers must wait from the initial request for service until the service has been completed c. The percentage of time the service rep will be idle d. By how much your answer to part a would be reduced if a second field rep were added