A retail operation sells computers. Each computer retails for $499. The monthly holding cost for each computer is $4. Placing an
1 answer:
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Answer:
a. 300
d. 200
Explanation:
EOQ =
2 * 7500 * 30 / 0.5
EOQ = 948 units
When price is $48 per unit
EOQ = 968 units
Total cost = Holding cost + ordering cost + purchase cost
When the order is for 500 price is $48
Total cost = $2,400 + $30 + $24,000 = $26,430
When the order is for 300 price is $50
Total cost = $1,500 + $30 + $15,000 = $16,530
When the order is for 306 price is $50
Total cost = $1,530 + $30 + $15,300 = $16,860
When the order is for 200 price is $50
Total cost = $1,000 + $30 + $10,000 = $11,030
The best two possible order quantities are 200 and 300 which results in minimum total cost.
Answer:
a) 15 to 35 approximately 95%
(b) 10 to 40 approximately almost all
(c) 20 to 30 approximately 68%
Explanation:
The data have a bell-shaped distribution which means the data is equally distributed on both sides of the mean.
We have the mean at 25 and a standard deviation of 5 which means that the interval is for each of the values of 5 .
The mean would be u and
The first value would be u ±σ = 25 ± 5= 20 and 30 (68 % )
The second value will be u ± 2σ= 25± 10 = 15 and 35 (95%)
The third value will be u ± 3σ= 25 ± 15 = 10 and 40 (99.7 % almost all)
In the figure below the light blue region gives u ±σ on both sides of the mean
, dark blue gives u ± 2σ values on both sides of the mean and grey gives
u ± 3 σ values on both sides of the mean.
It is obvious that 68 % of the data is contained in the u ±σ light blue region, 95 % of the data in the u ± 2σ dark blue including light blue and 99.7 % in the u ± 3σ all colored regions.
