(Solved) Teresa Cohan is attempting to perform an inventory analysis on one of her most popular products. Annual demand for this product is 5,000 units;


Question: Teresa Cohan is attempting to perform an inventory analysis on one of her most popular products.  Annual demand for this product is 5,000 units; unit cost is $200; carrying cost is considered to be approximately 25% of the unit price.  Order costs for her company typically run nearly $30/order and lead time averages 10 days (assume a 50 week year).

  1. What is the EOQ?
  2. What is ther ROP?
  3. What is the total annual cost?
  4. How many orders per year should be placed?
  5. How many days exist between orders (assume 250 working days per year)?

Price: $2.99
Solution: The downloadable solution consists of 2 pages
Deliverable: Word Document

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