Economic Order Quantity Model

Data

Demand rate, D 1,000.00 25,000.00

Deman per day, d 10.00 100.00
Set-up/order Cost, O 10.00 100.00
Holding Cost, H 0.50 0.05
Unit Price, P
Lead time 15.00

Results

EOQ, Q* 200.00 10,000.00

Maximum Order Quantity 200.00 10,000.00
Average Inventory 100.00 5,000.00
No. of orders 5.00 2.50
Optimal Cycle 73.00 146.00
Reorder Point, ROP 0.00 1,500.00

Holding Cost 50.00 250.00

Order Cost 50.00 250.00

Units Cost 0.00 0.00

Total Cost 100.00 500.00
 Production Order Quantity model

Demand rate, D 10,000.00 5,000.00

Set-up/order Cost, O 100.00 200.00
Holding Cost, H 0.50 28.00
Working days 250.00
Daily production rate, p 80.00 28.00
Daily demand rate, d 60.00 20.00
Unit Price, P 0.00
Lead time

Results

EOQ, Q* 4,000.00 500.00

Maximum Order Quantity 1,000.00 17.86
Average Inventory 500.00 142.86
No. of set-ups 2.50 7.14
Optimal Cycle 50.00 25.00
Reorder Point, ROP 0.00 10.00

Holding Cost 250.00 2,000.00

Set-up Cost 250.00 2,000.00

Units Cost 0.00 0.00

Total Cost 500.00 4,000.00
 Quantity Discount Model

Demand rate, D 5,000.00

Set-up/order Cost, O 49.00
Holding Cost, H 0.20

7000 Range 1 Range 2 Range 3

5000 Minimum Quantity 0.00 1,000.00 2,000.00
Unit Price 5.00 4.80 4.75

Results

Range 1 Range 2 Range 3

L* EOQ, Q* 700.00 714.43 718.18
T1* Order Quantity 700.00 1,000.00 2,000.00
imax*
T2* Holding Cost 350.00 480.00 950.00
C* Set-up Cost 350.00 245.00 122.50
N*
Units Cost 25,000.00 24,000.00 23,750.00
AHC* Total Cost 25,700.00 24,725.00 24,822.50 24,725.00
ASC* Optimal order quantity 1,000.00

TIC*
minimun