Operations Management
Not what you're looking for?
The Wheeling Pottery Store begins each month with 1200 pots in stock. This stock is depleted each month and reordered. If the carrying cost per pot is $8 per year and the fixed order cost is $90, what is the total carrying cost?
What is the restocking cost? Should Wheeling increase or decrease its order size?
Describe an optimal inventory policy for Wheeling in terms of order size and order frequency.
Purchase this Solution
Solution Preview
Carrying Cost (H)= $8
<br>Ordering Cost (S)= $90
<br>Batch Size (Q) = 1200
<br>
<br>Total Carrying Cost = Q/2*H
<br> = 1200/2 * 8= $4800.
<br>
<br>Annual Restocking Cost = S* No of ...
Purchase this Solution
Free BrainMass Quizzes
Six Sigma for Process Improvement
A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.
Basics of corporate finance
These questions will test you on your knowledge of finance.
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Cost Concepts: Analyzing Costs in Managerial Accounting
This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.
Income Streams
In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.