Annual demand for a product is 13000 units weekly demand is, Ask an Expert

Management Studies

Annual demand for a product is 13,000 units; weekly demand is 250 units with a standard deviation of 40 units. The cost of placing an order is $100, and the time from ordering to receipt is four weeks. The annual inventory carrying cost is $0.65 per unit. To provide a 98 percent service probability, what must the reorder point be? Suppose the production manager is told to reduce the safety stock of this item by 100 units. If this is done, what will the new service probability be?

View complete question

Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91640534

Have any Question?Write your Review or question?

Related Questions in Operation Management

What are amazonrsquos current marketsbusiness lines if you

What are Amazon’s current markets/business lines? If you distill the Amazon case down to its basic elements, what is the ultimate business model that CEO Jeff Bezos is following? The chart at the end of the case shows an ...

You are the area vice president of franchising for a quick

You are the Area Vice President of franchising for a Quick Service Restaurant (QSR) company that serves a unique grilled chicken product, which has become extremely popular. Because of a strong marketing effort and solid ...

1 define global start-up identify 3 characteristics of a

1. Define global start-up. Identify 3 characteristics of a global start-up 2. Would a reasonable member of the BCC board be comfortable keeping Bryant as CEO once they learned that he lied about having a college degree? ...

Consider a queuing system in which the number of servers is

Consider a queuing system in which the number of servers is adjusted depending on the number of customers currently in the system. You see this routinely in many businesses – from coffee shops to restaurants to grocery s ...

1 should the united states move to greater and stricter

1. Should the United States move to greater and stricter regulation of multinational business enterprises who wish to either enter or gain greater shares of US markets? 2. The text discusses two basic compensation philos ...

1 how is material flow planned and controlled in the supply

1. How is material flow planned and controlled in the supply chain? 2. Tesla Motors: Disrupting the Auto Industry Assess Tesla’s decision to make available its patents to other companies. Tesla’s motives Tesla’s technolo ...

Question 1 prepare an individual report demonstrating that

Question : 1. Prepare an individual report demonstrating that you a) understand the key ideas presented in the assigned and recommended readings for Week 1 and b) can analyze critically the extent to which they are appli ...

The ikea case provides an excellent opportunity to apply

The IKEA case provides an excellent opportunity to apply strategic management concepts to a large privately-held company that is expanding into India. IKEA is a Netherlands-based Swedish company with a presence in 44 cou ...

Preapre a mini research project on the given topic use

Preapre a Mini Research project on the given topic . Use your subject knowledge and learning outcomes in preparing your project. Be focus on conclusion and recommendation part because it shows your critical thinking skil ...

1 based on what you have read this week discuss reasons for

1. Based on what you have read this week, discuss reasons for understanding the role of the project manager, project leadership, and the project team (LO7). Discuss two types of conflict that might arise during a project ...

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