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kipiarov [429]
2 years ago
5

A supplier to Toyota stamps out parts using a press. Changing a part type requires the supplier to change the die on the press.

This changeover currently takes four hours. The supplier estimates that each hour spent on the changeover costs $250. Demand for parts is 1,000 per month. Each part costs the supplier $100, and the supplier incurs an annual holding cost of 25%.
a. Determine the optimal production batch size for the supplier.
b. Toyota wants the supplier to reduce its batch size by a factor of 2; that is, if the supplier currently produces Q parts per batch, Toyota would like them to produce Q/2 parts per batch. What should the supplier do in order to make this amount optimal for him? (In other words, what setup time creates a scenario in which the optimal batch size drops to 1/2 of its current level?)
Business
1 answer:
Pavlova-9 [17]2 years ago
8 0

The EOQ is 980 units and should reduce the fixed ordering cost to an amount of $62.50.

<u>Explanation:</u>

a) Annual demand=Qty per mth multiply with 12 = 1000 multiply with 12 =12000

Annual demand in USD, A= 12000 multiply with USD 100 (cost of each part) = USD 1200000

Preparation cost, P= 4 hrs changeover time multiply with USD 250 per hr = USD 1000

Annual holding cost, I = 25% = 0.25

EOQ in USD= Root over (2 multiply with A multiply with P divide by I ) = USD 9.79 multiply with 10000 = USD 98000

EOQ in nos. = USD 98000 divide by USD 100 (cos of each part) = 980 units

b)  Q = 980 divide by 4 = 245

In this case, annual carryring cost, C = EOQ 980 by 4 multiply with 0.5 multiply with Unit cost USD 100 multiply with 0.25 = USD 3062.50

Annual demand, D = 1000 per month multiply with 12 = 12000

Ordering cost = C multiply with 245 / D = USD 62.50

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Alima has invested $50,000 in an S&amp;P 500 index ETF that charges a total expense ratio of 8 basis points per year. How much w
katrin [286]

Answer:

Alima will pay 40 dollars in management of her fund.

Explanation:

A basis point is equivalent of 1/100th of 1%  

an expense ratio of 8 baiss point will be equivalent to 0.08%

0.08/100 = 0.0008

The managenement will get this as expense ratio while invesotr will see their investment yield decreases for this amount.

On a yearly basis Alima will pay $50,000 x 0.0008 = 40 dollars

7 0
2 years ago
Sabre is a performance automobile manufacturer headquartered in Ulster, Ireland. It has been in business for eighteen years and
Alchen [17]

Answer:

a) Augmented product: Previous Sabre models have won high praise from the automotive industry, and all 500 units of past vehicles have sold within weeks of announcement

b) Promised product: Sabre provides each potential customer with a list of customizable features that can be added during the manufacturing process.

c) Tangible product: Sabre designs and manufactures each automobile in-house; it makes every part of the car, from the tires to the brakes to the transmission to the metallic paint. Sabre employees make each car by hand.

d) Core product: Sabre is a performance automobile manufacturer headquartered in Ulster, Ireland. It has been in business for eighteen years and has brought twenty performance-oriented automobiles to market during this time.

Explanation:

a) The augmented product is defined as one that is capable of exceeding consumer expectations. In this case, the cars were sold very fast since customers were met with their expectations regarding the product offered.

b) In this case, Saber is able to customize each car with a series of additional features that offer the user so that he is able to have his own car as he would like

c) Tangible products are defined as goods or services that are manufactured, dispatched and delivered, that is, in this case, cars

d) Saber's main product is the manufacture of high performance cars. That is its main product and its strength in the business

5 0
2 years ago
Which of the following statements is not true of a strategic inflection point?
Elanso [62]

Answer:

The correct anwer is E) A new CEO is an example of a strategic inflection point.

Explanation:

The statement that "A new CEO is an example of a strategic inflection point" is false since to determine a strategic inflection point we rely on other factors that affect companies such as the power of competitors, the power of customers, the power of potential competitors, the power of suppliers and the power of substitutes.

For example, if my product or service is exceeded 10 times more by the competition in quality or price; we are talking about a strategic inflection point.

8 0
2 years ago
Agent Martinez wishes to solicit Medicare Advantage prospects through e-mail and asks you for advice as to whether this is possi
stealth61 [152]

Answer:

Marketing representatives may initiate electronic contact through e-mail but an opt-out process must be provided.

Explanation:

Since in the question it is mentioned that the Martinez requested or solicit for medicare advantage prospects via the e-mail so yes it is possible but for that, she have to contact with Marketing representatives or the company reached to her so that he or she can send the prospectus via mail also the opt-out process is also provided

5 0
2 years ago
At the beginning of the period, a company reported $100,000 of common stock, $10 par; and $50,000 paid-in capital in excess of p
Romashka-Z-Leto [24]

Answer:

$50,000

Explanation:

To calculate the amount of cash that the company received from selling common stock during the year 2 we can use the following formula:

cash received = (common stock year 2 - common stock year 1) + (paid in capital in excess of par year 2 - paid in capital in excess of par year 1) =  

cash received = ($110,000 - $100,000) + ($90,000 - $50,000) = $10,000 + $40,000 = $50,000

3 0
2 years ago
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