Q1.

Given data:
Q* (Order Quantity) = 4470 units
D (Demand per Month) = 1500 units per month
R (Manufacturing Rate) = 3000 units per month
1. Time b/w orders:
= Q* / D
= 4470 / 1500
= 2.98 month
2. Number of orders per Year:
= (D*12) / Q*
= (1500*12) / 4470
= 4.04 orders
3. Time of Manufacturing:
= Q* / R
= 4470 / 3000
= 1.49 month
Q.2 Given data
Market Demand = 18000 units per year
Manufacturing Rate = 3000 units per month
Cycle setup cost = 500 Rs.
Carrying Cost per unit per month = 0.15 Rs.
Shortage cost per unit per month = 20 Rs.
1. Optimum Manufacturing Quantity:
Economic Order Quantity formula = √ ((2*D*S) / H)

Using the given data

D = 18000 units
S = 500 Rs.
H = (0.15*12) = 1.8 Rs

EOQ = √ ((2*18000*500) / 1.8)

EOQ = 2000 units
2. Optimum Manufacturing Time = Optimum Manufacturing Quantity / Manufacturing Rate

OMT = 2000 / 3000

OMT = 0.67 months
3. Optimum Time b/w Set-up = Optimum Manufacturing Quantity / D
OTS = 2000 / 1500
OTS = 1.33 months