Huckaby motor services inc rebuilds small electrical items, Ask an Expert

Management Studies

Huckaby Motor Services, Inc. rebuilds small electrical items such as motors, alternators, and transformers, all using a certain type of copper wire. The firm's demand for this wire is approximately normal, averaging 20 spools per week, with a standard deviation of 6 spools per week. Cost per spool is $24; ordering costs are $25 per order; inventory handling cost is $4.00 per spool per year. Acquisition lead time is four weeks. The company works 50, 5-day weeks per year.

a. What is the optimal size of an order, if minimization of inventory system cost is the objective ?

b. What are the safety stock and reorder point if the desired service level is 90% ?

View complete question

Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92184993

Have any Question?Write your Review or question?

Related Questions in Operation Management

Using the shrm case study an organization named reyes

Using the SHRM case study (an organization named Reyes) provided, students will apply their knowledge about business and the function of Human Resources. In addition the use of a common business tool, a Strengths, Weakne ...

David diana and lydia are the sole partners and workers in

David, Diana and Lydia are the sole partners and workers in a company that produces fine clocks. David and Diana are each available to work a maximum of 40 hours per week at the company, while Lydia is available to work ...

Under each principle give a summary of its most unique

Under each principle, give a summary of it's most unique aspect. -Lead yourself exceptionally well. -Lighten your leaders load. - Be willing to do what others won’t. - Do more than manage. Lead! - Invest in relational ch ...

In hofstedes terminology a culture where risk-taking is

In Hofstede's terminology, a culture where risk-taking is valued is high in: Risk acceptance Entrepreneurial spirit Uncertainty acceptance Risk tolerance Which of the following European countries has the biggest economy? ...

You are the president of the american association of

You are the president of the American Association of Construction Manufacturers (AACM), a trade association that represents seven hundred companies who build and sell heavy construction equipment. Members have proposed a ...

Discusswhat to do to make a group a teamthere are twelve

Discuss What to Do to Make a Group a Team There are twelve characteristics we might consider to make an effective team: Clear purpose Active participation Open communications Civilized disagreement Active listening Infor ...

1 what do you think of empowering lower level employees is

1. What do you think of empowering lower level employees? Is it likely to benefit the company? Why or why not? Are there potential dangers to the company? What are they? Explain. 2. What are the challenges in implementin ...

Scenarioas a healthcare provider how would you deal with

Scenario: As a healthcare provider how would you deal with the above situation? While treating a patient in the ER with a leg laceration, a provider notices a visitor with the patient who is talking on a cell phone in th ...

Recommendations in this section you will recommend the

Recommendations: In this section, you will recommend the technology solution that you believe is most appropriate for your business based on how well each technology meets your business’s technology requirements. A. Reco ...

1 explain in detail the criteria in choosing suppliers in

1. Explain in detail the criteria in choosing suppliers in the industry. Give your views on the correct supplier selection. 2. Why contract management is so important in managing supply chain management. 3. Make a list o ...

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