OPS MGMT – Your firm uses a continuous review system
Your agency makes use of a steady evaluation system and operates 52 weeks per 12 months. One among SKUs has the next traits.Demand (D) = 20,000 models/yearOrdering Price (S) = $40/orderHolding time (L) = 2 WeeksCycle-service stage = 95 percentDemand is often distributed, with a normal deviation of weekly demand of 100 models.Present on-hand stock is 1,040 models, with no scheduled receipts and no backorders.A. Calculate the merchandise EOQ. What's the common time, in weeks, between orders.B. Discover the security inventory and reorder level that present a 95 % cycle-service stage.C. For these insurance policies, what are the annual prices of (i) holding the cycle stock and (ii) inserting orders.D. A withdrawal of 15 models simply occurred. Is it time to reorder? In that case, how a lot ought to be ordered?