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Model EOQ

The document discusses the economic order quantity (EOQ) model. The EOQ model calculates the optimal order quantity, total cost, number of orders per year, and order cycle time given inputs of carrying cost, ordering cost, demand, and days per year. It shows that with carrying cost of $0.75 per unit, ordering cost of $150, demand of 10,000 units, and 311 days per year, the optimal order quantity is 2,000 units, resulting in a total cost of $1,500 with 5 orders per year and an order cycle time of 62.2 days. A graph illustrates how total cost varies with different order quantities.

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0% found this document useful (0 votes)
59 views1 page

Model EOQ

The document discusses the economic order quantity (EOQ) model. The EOQ model calculates the optimal order quantity, total cost, number of orders per year, and order cycle time given inputs of carrying cost, ordering cost, demand, and days per year. It shows that with carrying cost of $0.75 per unit, ordering cost of $150, demand of 10,000 units, and 311 days per year, the optimal order quantity is 2,000 units, resulting in a total cost of $1,500 with 5 orders per year and an order cycle time of 62.2 days. A graph illustrates how total cost varies with different order quantities.

Uploaded by

Fadli HS
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLS, PDF, TXT or read online on Scribd
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The Economic Order Quantity Model

Inputnya costs, demand and days per year. Excel akan menghitung optimal
Input: order quantity, total cost, jumlah orders per tahun, dan perputaran order
(order cycle time). Cost digambarkan untuk berbagai jumlah yang diorder.
Carrying cost, Cc = $0.75
Ordering cost, Co = $150.00
Demand = 10,000
$3,500.00
Days per year = 311
$3,000.00
Output:
$2,500.00
Qopt = 2,000
Total Cost, TC = $1,500.00 $2,000.00
Orders per year = 5
$1,500.00 Ordering
Order cycle time = 62.20 days Cost
$1,000.00 Carrying Cost
Total Cost
$500.00
Graph:
Q Co * D/Q Cc *Q/2 TC $0.00
500 $3,000.00 $187.50 $3,187.50 0
50 0 00 5 00 0 00 50
0
00
0
50
0
00
0
50
0
00
0
50
0
00
0
1,000 $1,500.00 $375.00 $1,875.00 1, 1, 2, 2, 3, 3, 4, 4, 5, 5, 6,
Units
1,500 $1,000.00 $562.50 $1,562.50
2,000 $750.00 $750.00 $1,500.00
2,500 $600.00 $937.50 $1,537.50
3,000 $500.00 $1,125.00 $1,625.00
3,500 $428.57 $1,312.50 $1,741.07
4,000 $375.00 $1,500.00 $1,875.00
4,500 $333.33 $1,687.50 $2,020.83
5,000 $300.00 $1,875.00 $2,175.00
5,500 $272.73 $2,062.50 $2,335.23
6,000 $250.00 $2,250.00 $2,500.00

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