Answer:
Annuanl Demand 19,377
order cost per order =377
no of order =51 (19377/377)
Unit recived =51*377 =19227
Shortage =19377-19227 =150
Cost per unit shortage =44
cost =44*150= 6600
interest =0.29%0f 6600 =19.14
Total cost =6619.14
For a deterministic inventory model with back-orders; The annual demand = 19,377 Unit price= 35 Interest...
The economic order quantity (EOQ) model is a classical model used for controlling inventory and satisfying demand. Costs included in the model are holding cost per unit, ordering cost, and the cost of goods ordered. The assumptions for that model are that only a single item is considered, that the entire quantity ordered arrives at one time, that the demand for the item is constant over time, and that no shortages arc allowed. Suppose we relax the first assumption and...
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The Economic Order Quantity (EOQ) model is a classical model used for controlling inventory and satisfying demand. Costs included in the model are holding cost per unit, ordering cost and the cost of goods ordered. The assumptions for that model are that only a single item is considered, that the entire quantity ordered arrives at one time, that the demand for the item is constant over time, and that no shortages are allowed. Suppose we relax the first assumption and...
Please answer and show all work .
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