Consider the following requirements for a certain product
Period 1 2 3 4 5 6 7 8
Gross requirements 0 200 200 500 0 400 0 400
Beginning inventory = 500 units
Setup cost = $500 per setup
Lead time = 1 week
Holding cost = $3 per unit per week
a. Develop the lot-for-lot MRP table.
b. Calculate the total relevant costs.
There are three setups at $500 each, totaling $1,500. There are 500 units held in period 1 and 2, and 300 in period 3. The holding costs are 1300 units × $3 per unit, for a total of $3,900. Total relevant costs are $5,400.
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A shadow price reflects which of the following in a maximization problem?
A) the marginal gain in the objective that would be realized by adding one unit of a resource B) the marginal gain in the objective that would be realized by subtracting one unit of a resource C) the marginal cost of adding additional resources D) the marginal gain of selling one more unit
Which one of the following statements is TRUE?
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Answer the following statement true (T) or false (F)
In January of 1997, the U.S. Consumer Price Index (CPI) stood at 159.1. By January of 2011, the level had risen to 220.2. What was the average annual rate of inflation over this time period as measured by the CPI?
A) 2.35% B) 3.31% C) 2.97% D) 2.60%