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Cll 71 cra 9 o 10
2 10 000 40
0 60 1 50 500
1 217 wheel bearings
Qp
* ( , )( )
.(/)
,
2 8 000 100
0 3 1 40 150
2 697 scissors
6-34. D _ 1,000; unit cost _ $50; Co _ $40;
Ch _ 0.25 _ unit cost
With discount, unit cost _ (1 _ 0.03) _ $50 _ $48.50
which should be adjusted to minimum orderable quantity (i.e.,
200).
Original total cost
_ $51,000
Discount cost
Therefore, North Manufacturing should take the discount.
6-35. Cc _ $40; Ch _ $5; ROP _ 60 units _ safety stock.
The expected stockout cost is $50 per stockout _ 7 orders per
year _ the number of units short. For this problem, the reorder
point is 60 without safety stock, and we wish to determine how
much safety stock to carry. We consider safety stock of 0, 10, 20,
and 30. We do not need more than 30 since 60 _ 30 _ 90, which
is the maximum possible demand. Let alternatives 1, 2, 3, and 4 be
safety stocks of 0, 10, 20, and 30 respectively