1.UA Hamburger Hamlet (UAHH) places a daily order for its high-volume items (hamburger patties, buns, milk, and so

on). UAHH counts its current inventory on hand once per day and phones in its order for delivery 24 hous later. Determine the number of hamburgers UAHH should order for the following conditions:

a.Average daily demand – 600

b.Standard deviation of daily demand – 100

c.Demand service probability – 99%

d.Hamburger inventory – 800

2. A consulting firm is trying to determine how to minimize the annual costs associated with purchasing high-quality paper for its printers. Each time an order is placed, an ordering cost of $50 is incurred. The price per ream of printer depends on Q, the cost of a ream of a paper is $10. The annual holding cost is 20% of the dollar value of inventory. During each months, the consulting firm uses 80 reams of printer paper. Answer following

a. The average inventory level

b. Total annual inventory holding cost

c. The number of orders placed during the year

d. Annual ordering costs

e.the optimal order quantity and the number of order placed each year. 

Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"