questions

Complete problem 12 on page 498 of your textbook

12. A local nursery, Greens, uses 1560 bags of plant food annually. Greens works 52 weeks per year. It costs $10 to place an order for plant food. The annual holding cost rate is $5 per bag. Lead time is one week.

(a) Calculate the economic order quantity.

(b) Calculate the total annual costs.

(c) Determine the reorder point.

Complete problem 2 on page 534 of your textbook

2. Jill has decided that the BackPack Company must have very good customer service. She has asked you to develop a level aggregate plan using inventories but not back orders. All demand must be met each period. You must:

• (a) Calculate the aggregate production rate.
• (b) Calculate the appropriate workforce given the aggregate production rate.
• (c) Show what would happen if this plan were implemented.
• (d) Calculate the costs of this plan.
• (e) Evaluate the plan in terms of cost, customer service, operations, and human resources.