An auto parts supplier sells hardy-brand batteries to car, Ask an Expert

Management Studies

An auto parts supplier sells Hardy-brand batteries to car dealers and auto mechanics. The annual demand is approximately 1,200 batteries. The supplier pays $28 for each battery and estimates that the annual holding cost is 30 percent of the battery's value. It costs approximately $20 to place an order (managerial and clerical costs). The supplier currently orders 100 batteries per month.

a. Determine the ordering, holding, and total inventory costs for the current order quantity.

b. Determine the economic order quantity (EOQ).

c. How many orders will be placed per year using the EOQ?

View complete question

Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91905271

Have any Question?Write your Review or question?

Related Questions in Operation Management

1 explain in your own words why this is an effective

1. Explain in your own words why this is an effective guideline for SPC (Statistical Process Control). DETECTION RULE ONE: a lack of control is indicated whenever a single point falls out-side the (three sigma) control l ...

Control enviroment1 are all employees paid by check or

Control Enviroment 1 Are all employees paid by check or direct deposit? 2 Is a special payroll bank account used? 3: Are payroll checks signed by persons who do not prepare check or keep cash funds or accounting records? ...

Cesar rego computers a mississippi chain of computer

Cesar Rego Computers, a Mississippi chain of computer hardware and software retail outlets, supplies both educational and commercial customers with memory and storage devices. It currently faces the following ordering de ...

This questions comes under mba 5005 in a question for a

This questions comes under MBA 5005 in a question for a paper. Legal and Ethical Challenges in a Multinational Organization. Adam Upp worked in the accounting department and had been with the retail division for 10 years ...

1 explain the industry profile of caterpillar cat and give

1. Explain the Industry profile of Caterpillar (CAT) and give the details of the context within which the organization operates with pressures, threats, laws, information on competitors and other external factors that im ...

1 argue for or against the need for increased government

1. Argue for or against the need for increased government regulations of business. What examples can you provide to support your position? Are there certain industries or businesses that should require additional regulat ...

1 think of an occasion when you faced a miscommunication

1. Think of an occasion when you faced a miscommunication problem. What do you think caused the problem? How do you think it should have been handled better? 2. Have you ever not given someone information or opinions tha ...

The information technology laboratory of the national

The Information Technology Laboratory of the National Institute of Standards and Technology (NIST) recently updated its general guide that helped organizations plan for and implement security throughout the SDLC. Radack ...

Short case assessment questionseveryone must complete this

Short Case Assessment Questions Everyone must complete this assignment for all of the cases in your section. If you wrote a case, you are still responsible for the assignment but you should complete the table only for th ...

1 do you think there is a difference between diversity

1. Do you think there is a difference between diversity management and affirmative action? Please provide an explanation for your response. 2. How has the development of Internet surveys affected survey designs? 3. In or ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Operation Management Expert