Essay About Average Weekly Demand And Economic Order Quantities

Toys Plus Inc
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Calculate economic order quantities for each of the three types of toys.
MASTER SCHEDULE FORECAST INPUT
SEP26
OCT10
OCT17
OCT24
OCT31
—–
—–
—–
—–
—–
—–
TOY AUTO
TOY TRUCK
TOY ROBOT
——
——
——
——
——
——
TOTAL UNITS
AVERAGE WEEKLY DEMAND (CALCULATED)
TOY AUTO
1275
TOY TRUCK
TOY ROBOT
MASTER SCHEDULE
EOQ CALCULATIONS
TRUCK
ROBOT
WEEKLY DEMAND RATE
PRODUCTION RATE PER WEEK
UNIT COST
SETUP COST
CARRYING COST(% Per Year)
ECONOMIC ORDER QUANTITY
8740
3034
5130
BEGINNING INVENTORY LEVEL INPUT
Run-out Time = Inventory Level / Demand (in weeks)
Prepare a master production schedule for the next six weeks
MASTER SCHEDULE (INPUT PLANNED QUANTITY FOR EACH WEEK)
PLANNED PRODUCTION (WEEK BEGINNING)
SEP26
OCT10
OCT17
OCT24
OCT31
—–
—–
—–
—–
—–
—–
TOY AUTO
TOY TRUCK
TOY ROBOT
——
——
——
——
——
——
TOTAL UNITS
TOTAL LABOR HOURS
CALCULATED RUN-OUT TIMES (WEEKS)
TOY AUTO
8740
TOY TRUCK
3034
TOY ROBOT
5130
PROJECTED INVENTORIES OF FINISHED GOODS
SEP26
OCT10
OCT17
OCT24
OCT31
—–
—–
—–
—–
—–
—–
TOY AUTO
TOY TRUCK
TOY ROBOT
3066.667
——
——
——
——
——
——
TOTAL UNITS
7466.667
10350
FINISHED GOODS INVENTORY ANALYSIS:
AVERAGE WEEKLY USAGE IN $
$10,929
AVERAGE WEEKLY INVENTORY IN $
$42,676
FINISHED GOODS TURNOVER RATIO
13.3
COMPONENT PART INPUTS
BEGINNING
G PARTS
SAFETY
COMPENENT PART
INVENTORY
Y UNIT
STOCK
523 CAR BODY
525 AUTO WHEELS
529 AUTO SIDE WINDOWS
531 AUTO WINDSHIELD
615 TRUCK CAB
617 TRUCK DUAL WHEELS
9900
8
2
3064
619 TRUCK SINGLE WHEELS
2500
2
2
766
621 TRUCK TRAILER
730 ROBOT BODY
732 ROBOT ARMS
734 ROBOT LEGS
736 ROBOT HEAD
Prepare a parts explosion to support the master schedule
COMPONENT PARTS EXPLOSION
WEEK BEGINNING
SEP26
OCT10
OCT 17
OCT 24
OCT 31
GROSS REQUIREMENTS
2600
3500
2640
SCHEDULED RECEIPTS
PROJ. ON HAND INV.
NET REQUIREMENTS
1375
3500
2640
PLAN. ORDER RELEASES
3500
2640
GROSS REQUIREMENTS
10400
14000
10560
SCHEDULED RECEIPTS
PROJ. ON HAND INV.
NET REQUIREMENTS
5700
14000
10560
PLAN. ORDER RELEASES
5700
14000
10560
GROSS REQUIREMENTS
5200
7000
5280
SCHEDULED RECEIPTS
ON HAND INVENTORY