Question: Weekly demand for a certain product is normally distributed with a mean of 4 2 0 and standard deviation of 9 . The source of
Weekly demand for a certain product is normally distributed with a mean of and standard deviation of The source of supply is reliable and maintains a constant lead time of weeks. The cost of placing the order is $ and annual holding costs are $ per unit. There are no stockout costs and unfulfilled orders are filled as soon as the order arrives. Assume that sales occur over entire weeks over a year. Find:
Part : mark Calculate Economic Order Quantity EOQ
Part : mark Calculate Reorder Point use
Part : mark What is average on hand inventory
Part : mark How many orders will be placed per year if we order the BOQ quantity every time?
Part : mark If the cost per unit is equal to unit, calculate the total annual purchasing cost
Part : mark Calculate the total annual cost
Part : mark State the inventory policy
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