Optimize Your Ordering Decisions: A Guide to Demand Simulation
School
Evergreen Valley College**We aren't endorsed by this school
Course
BUS 280
Subject
Economics
Date
Dec 10, 2024
Pages
7
Uploaded by baohung1601
Price/unitPrice$ 12.00 Purchase cost/unitPurchase Cost$ 6.00 RoundRoundOrder (your decision first)1125223633324453556663377678833994410107311321286133414671543StdeNStep 7: repeat the whole procedifferent round until you finish
Demand RealizationMissed Sales $Excess inventory $ Profit of the Round $63$ 228.00 $ - $ 150.00 40$ 24.00 $ - $ 216.00 77$ 270.00 $ - $ 192.00 22 $ - $ 186.00 $ (54.00)13$ 42.00 $ - $ 36.00 34$ 6.00 $ - $ 198.00 59 $ - $ 48.00 $ 306.00 44$ 66.00 $ - $ 198.00 85$ 246.00 $ - $ 264.00 29 $ - $ 264.00 $ (90.00)34$ 12.00 $ - $ 192.00 77 $ - $ 54.00 $ 408.00 23 $ - $ 66.00 $ 72.00 67 $ - $ - $ 402.00 45$ 12.00 $ - $ 258.00 Total Profit$ 2,748.00 Demand (copied asvalue)Step 2: Go to the worksheet "Demand Generator"tep 1: enter your ordering ecision of a round in Column C. Numbers must be from 1 to 100.Step 5: Type the # from Demand Generator in Column D of a roundStep 6: the roungiven yodemandess for a round 15Last stepsave you
Check the results of nd that calculated our decision and the d in Column E, F and Gp: once you finish all 15 rounds, ur work.
Random Demand Generator89Press the following keys to generate random demand in each round. Everytime you press the keyMacbookCMD + =WindowsF9Step 3: Press the following shortcut konce (depending on your machine) togenerate the demand for a round in BOr you can simply double click the ceStep4: Type the number you see in Bthe worksheet "Newsvendor Game", Column D for the corresponding roun
y, a different number will be generated.key o B8.ell.B8 to nd
Demand InformationNormalMean350STD100retail price$ 250 purchase cost$ 100 Inventory handling cost$ 5 Salvage value$ 85 Underage cost (Cu)$ 150 Overage cost (Co)$ 20 Critical Ratio (CR)88.24%Q*469Expected Lost Sales6formula is givExpected Fill Rate98.35%In-Stock Prob (Service Level)88.24%Stock out Prob11.76%
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