Logistical Inventory Control and Material Management, MGT 417
1.What is the most important analysis of inventory control?
2.What are the seven variables used in the analysis of EOQ?
3.This is the only variable directly under an organization’s control__________________.
4.What are three steps to develop EOQ?
5.What are three reasons for lead time as it applies to logistics?
6.The price charged by suppliers for one unit of an item or the total cost to an organization for acquiring one unit is the ________________.
7._____________________ determines the number of units to be supplied from stock in a given time period.
8.The cost associated with storing supplies and materials in a warehouse or distribution center for a period of time is________________.
9.The Saint Leo book store’s annual demand for a particular book is 4,653. However, demand fluctuates depending on whether the semester occurs in the Spring, Fall, or Summer. The holding cost per book is $3.60. The cost to place an order fluctuates as well, depending on how many books are ordered for a semester but the average cost to order a book is $49.40. What is the economic order quantity?
10.The local Ford car dealership has an annual demand for 1,255 Ford F150 trucks. Demand does change for particular models and features but generally the demand remains 1,255 per model year. The cost to maintain and store each truck on the car lot is $1,475 and the cost to order a truck varies depending on the model and features the customer wants. However, the average cost to order a F150 truck is $12,300. What is the economic order quantity?
11.The most common variation in cost occurs when a supplier offers a ______________on all units for orders above a certain size.
12.As indicated in the Text Book, what are the costs associated with backorders?
13.What is the primary difference between shortages and backorders?
14.The four cost components for a single stock cycle are:
15.Every organization works within a context that is set by international trading conditions, the national economy, government policies, the business environment, competition, other organizations in the supply chain, suppliers operations, and so on. An organization cannot change these variables, but they are likely to affect several areas of inventory and material management, what are the four areas affected?