Atoy manufacturer uses approximately 32,000 silicon chips annually. the chips are used at a steady rate during the 240 days a year that the plant operates. annual holding cost is $3 per chip and ordering cost is $120. determine by hand:

a) the optimal order quantity

b) the number of orders to be placed in a year

c) how often orders need to be placed?

d) compute the total annual cost using your order size from question a.

a) 1,600

b) 20

C) every 18.25 days

d) 4,800 dollars

Explanation:

Where:

D = annual demand =32,000 units

S= setup cost = ordering cost =$120

H= Holding Cost =$3.00

EOQ = 1600

orders per year:

32,000 / 1,600 = 20 order per year

days between orders:

365 days per year / 20 order per year = 18.25 days

inventory cost:

average inventory: 1,600 / 2 = 800 units of inventory

800 x $3 holding cost + 20 orders at $120 each

2,400 + 2,400 = 4,800

i would say a penny hope it you

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi