Economic Order Quantity

Question-1

Cheeseburger and Taco Company purchases 6,440 boxes of cheese each year. It costs $22 to place and ship each order and $3.10 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. Calculate Economic Order Quantity. Round the answer to the whole number.

Question-2

Cheeseburger and Taco Company purchases 10,408 boxes of cheese each year. It costs $15 to place and ship each order and $6.31 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year ? Round the answer to the whole number.

Question-3

Cheeseburger and Taco Company purchases 13,346 boxes of cheese each year. It costs $10 to place and ship each order and $4.01 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year?

Question-4

Cheeseburger and Taco Company purchases 12,742 boxes of cheese each year. It costs $11 to place and ship each order and $4.74 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. How many orders will be placed each year ? Round the answer to the whole number.

Question-5

Cheeseburger and Taco Company purchases 16,063 boxes of cheese each year. It costs $22 to place and ship each order and $8.57 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. Calculate Economic Order Quantity. Round the answer to the whole number.

 

Question-6

Cheeseburger and Taco Company purchases 12,510 boxes of cheese each year. It costs $29 to place and ship each order and $7.00 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual carrying costs of cheese inventory. Round the answer to two decimals.

Question-7

Cheeseburger and Taco Company purchases 11,061 boxes of cheese each year. It costs $28 to place and ship each order and $8.01 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. How many orders will be placed each year?

Question-8

Cheeseburger and Taco Company purchases 6,636 boxes of cheese each year. It costs $11 to place and ship each order and $3.00 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual ordering cost of cheese inventory. Round the answer to two decimals.

Question-9

Cheeseburger and Taco Company purchases 6,892 boxes of cheese each year. It costs $30 to place and ship each order and $3.61 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What are the annual carrying costs of inventory?

Question-10

Cheeseburger and Taco Company purchases 14,141 boxes of cheese each year. It costs $29 to place and ship each order and $6.25 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual total inventory management costs of cheese inventory. Round the answer to two decimals.

Question-11

Appliance for Less is a local appliance store. It costs this store $21.90 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 606 units. Each order costs $82. The company is using Economic Order Quantity model in placing the orders. It takes approximately 6 day(s) to receive an order after it has been placed. If the store insists on a 1 day(s) safety stock (assume 365-days a year), what should the inventory level be when a new order is placed ? (Round the answer to the whole number)

Question-12

Cheeseburger and Taco Company purchases 12,413 boxes of cheese each year. It costs $21 to place and ship each order and $9.69 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual ordering cost of inventory?

Question-13

Appliance for Less is a local appliance store. It costs this store $27.04 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 250 units. Each order costs $74. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year including safety stock if the store insists on a 2 days safety stock ? (assume 365 days a year) (Round the answer to the whole number)

Question-14

Cheeseburger and Taco Company purchases 13,596 boxes of cheese each year. It costs $13 to place and ship each order and $5.28 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What are the annual total costs of inventory?

Question-15

Appliance for Less is a local appliance store. It costs this store $20.84 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 3330 units. Each order costs $77. The company is using Economic Order Quantity model in placing the orders. It takes approximately 1 day to receive an order after it has been placed. If the store insists on a 5 days safety stock (assume 365-days a year), what should the inventory level be when a new order is placed?

Question-16

Appliance for Less is a local appliance store. It costs this store $28.96 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 624 units. Each order costs $72. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year including safety stock if the store insists on a 3 days safety stock (assume 365 days a year)?