Pilger corporation has cash on hand at year-end of $201,000 and a negative cash flow from operations of $144,000. what is the ra
1 answer:
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Answer:
x1 + x2 + x3 + x4 + x5 + x6 + x7
Explanation:
Formulating the problem as an LP
Attached below is an AOA diagram and the completion time of each task is indicated in the diagram, The diagram was based on the conditions given for the completion of each task accordingly.
To complete the project as early as possible we will have assume
x1, x2, x3, x4, x5, x6, and x7 to be the times taken to complete each node
hence the earliest time taken to complete the project
= x1 + x2 + x3 + x4 + x5 + x6 + x7
when : x2 - x1 ≥ 3
x3 - x2 ≥ 2
x4 - x2 ≥ 2
x5 - x3 ≥ 3
x6 - x3 ≥ 3
x7 - x5 ≥ 1
x7 - x6 ≥ 1
also : x1, ............ , x7 ≥ 0
Answer:
The appropriate solution is:
(a) 2828 cases each time
(b) $4005656.85
(c) $3609800
Explanation:
The given values are:
Annual demand,
D = 200,000 cases
Per case cost,
C = $20
Carrying host,
H =
= $
Ordering cost,
S = $40
(a)
The economic order quantity will be:
⇒
On substituting the values, we get
(b)
According to the question,
The annual ordering cost will be:
=
=
= ($)
The annual carrying cost will be:
=
=
= ($)
The annual purchase cost will be:
=
=
= ($)
Now,
The total inventory cost will be:
=
= ($)
(c)
According to the question,
Order quantity,
Q = 10000 cases
Per case cost,
C = $18
Carrying cost,
H =
=
The annual ordering cost will be:
=
=
= ($)
The annual carrying cost will be:
=
=
= ($)
The annual purchase cost will be:
=
=
=
Now,
The total cost of inventory will be:
=
= ($)