YallaCell purchases Phones at $350 per unit. The holding cost is $32 per unit per year,...

  
 

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YallaCell purchases Phones at $350 per unit. The holding cost is $32 per unit per year, the ordering cost is $117 per order, and sales are steady at 250 per month. The company's supplier decided on the price structure below: Qty Purchased Price/Unit 1-99 units $350 100-199 units $325 $300 200 or more units a) What is the optimal order quantity and minimum annual cost for YallaCell to order, purchase, and hold these phones. What is the economic order quantity (Q*)? At the price of $325/unit: What is the order quantity (Q)? What is the Annual Holding cost? What is the Annual Ordering cost? What is the Annual Purchase cost? What are the Total Costs? At the price of $300/unit: What is the order quantity (Q)? At the price of $300/unit: What is the order quantity (Q)? What is the Annual Holding cost? What is the Annual Ordering cost? What is the Annual Purchase cost? What are the Total Costs? Based on the above, what is the best quantity to order? b) YallaCell wishes to use a 12% holding cost rather than the fixed $32 holding cost in (a). What is the optimal order quantity and optimal annual cost? At the price of $300/unit: What is the optimal order quantity (Q*)? Is it a realizable Q* at $300/unit? OYes ONO What is the order quantity at $300/unit? What is the order quantity at $300/unit? What are the Total Costs (Purchase+Ordering+Holding)? At the price of $325/unit: What is the optimal order quantity (Q*)? Is it a realizable Q* at $325/unit? OYes ONo What is the order quantity at $325/unit? What are the Total Costs (Purchase+Ordering+Holding)? Is there a need to check Q at $350/unit? OYes ONO Based on the above, what is the best quantity to order? YallaCell purchases Phones at $350 per unit. The holding cost is $32 per unit per year, the ordering cost is $117 per order, and sales are steady at 250 per month. The company's supplier decided on the price structure below: Qty Purchased Price/Unit 1-99 units $350 100-199 units $325 $300 200 or more units a) What is the optimal order quantity and minimum annual cost for YallaCell to order, purchase, and hold these phones. What is the economic order quantity (Q*)? At the price of $325/unit: What is the order quantity (Q)? What is the Annual Holding cost? What is the Annual Ordering cost? What is the Annual Purchase cost? What are the Total Costs? At the price of $300/unit: What is the order quantity (Q)? At the price of $300/unit: What is the order quantity (Q)? What is the Annual Holding cost? What is the Annual Ordering cost? What is the Annual Purchase cost? What are the Total Costs? Based on the above, what is the best quantity to order? b) YallaCell wishes to use a 12% holding cost rather than the fixed $32 holding cost in (a). What is the optimal order quantity and optimal annual cost? At the price of $300/unit: What is the optimal order quantity (Q*)? Is it a realizable Q* at $300/unit? OYes ONO What is the order quantity at $300/unit? What is the order quantity at $300/unit? What are the Total Costs (Purchase+Ordering+Holding)? At the price of $325/unit: What is the optimal order quantity (Q*)? Is it a realizable Q* at $325/unit? OYes ONo What is the order quantity at $325/unit? What are the Total Costs (Purchase+Ordering+Holding)? Is there a need to check Q at $350/unit? OYes ONO Based on the above, what is the best quantity to order?

Answer rating: 100% (QA)

a What is EOQ Q Answer Q 148 units Working Formula for EOQ Q Q 2 ... View the full answer