StudentShare solutions

# Quantitative Applications - Essay Example

## Extract of sampleQuantitative Applications

(c) A project plan was constructed and the network was designed for designing, writing and installing a bespoke computer database. The critical path and the shortest time to completion is identified as follows:
= Contract negotiation User discussions Review current system Systems analysis (a) Systems analysis (b) Programming Preliminary testing Documentation preparation Implementation Debugging Manual.
(d) This project can be controlled by monitoring and controlling the critical activities and reducing lead time on the other activities which do not contribute towards the critical path. The important activities that need monitoring and control may be the Systems analysis, programming, testing, documentation, implementation and debugging.
(a) The main advantages of holding an inventory are that losses due to unexpected changes in demand and deliveries from suppliers can be avoided and it is a safety net against backorders. The main disadvantages of holding inventory are the increased holding costs incurred due to higher rental value of the space occupied, higher premiums, the danger of the inventory losing its value or becoming obsolete and the loss of money in opportunity costs.
The assumptions made are that the demand rate is known and it is uniform (constant), the ordering cost is constant, quantity discounts do not exist, the production rate is infinite (with no shortages) and the order is received immediately after placing the order. The formula for a simple demand model for the EOQ (Economic Order Quantity) is now given below:
Economic Order Quantity, Q =
Where, C = fixed cost per order (not per unit, in addition to unit cost)
D = annual demand quantity of the product
H = annual holding cost per unit (also known as carrying cost)
(c) Unit cost = 80
Annual holding cost per unit = 20% per year = 0.20 * 80 = 16
Holding cost per unit per month = 1.33
Fixed cost per order = 140
Demand = 700 /month
Therefore, EOQ, Q = 384 units/order
(d) If the supplier offers a 5% discount on the product cost if ordered in lots of 1200 units or more, then the advice to the manager is to place the orders once every four months.
QUESTION 3
(a) A diagram of a simple and basic EBQ model is shown below (production and consumption model).
The assumption here is that rather than the lot arriving instantaneously, the lot is assumed to arrive continuously at a production rate K. This situation arises when a production process feeds the inventory and the process operates at the rate K greater than the demand rate D. According to this model, the Economic Batch Quantity (EBQ), or the Economic Production Quantity (EPQ) is given by

Where, K = Setup cost
D = Demand rate
F = holding cost
P = production rate

(b) Unit cost of a thermostat = 25
Demand per annum, D = 4000
Production Rate, P = 200 per week = 10400 per annum
Setup costs, K = 240 /setup

## Summary

(b) Importance of planning and control: The project planning and design is important in order to meet the end user requirements, as well as satisfy the project sponsor and business needs. It is done to ensure that it has the level of quality, functions as required and functions well within the given constraints…
Author : qtromp
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Quantitative Applications"
with a personal 20% discount.
Grab the best paper

### Related Essays

Quantitative analysis
In the time series analysis, various other tools and techniques are available that make it a powerful tool in itself for the analytical processes that are quantitative in nature. As the name implies, this form of observation is based on gathering various items monitored constantly and through repetitive measurements.
9 pages (2250 words) Essay
Qualitative Vs Quantitative Research

The author describes Quantitative Research as ‘the method which investigates the why and how of decision making, not just what, where and when’. It was noted that qualitative research presents data in language form which is gathered from the study area. In qualitative research, it is thought that the researcher can learn the most by participating.

8 pages (1750 words) Essay
Computer applications in management
Microsoft has its merits. It has built in features that help users pick the right function and use it correctly. This is evidence during the data entry processes where excel displays a list of function, thus exhibiting various choices. In the formula bar users can click FX to launch the insert function dialog that assists them to choose and enter the function correctly.
4 pages (1000 words) Essay
Quantitative methods
Quantitative research is the systematic empirical investigation of social phenomena by the use of statistical, mathematical or computational techniques. On the other hand, scientific research is the body of techniques used for investigating phenomena, acquiring new knowledge or rectifying and integrating previous knowledge and information.
3 pages (750 words) Essay
Qualitative versus Quantitative Research
The author states that qualitative and quantitative methods’ versatility can be analysed from the fact that “in recent years specialisations such as medical anthropology and medical sociology have relied on qualitative methods to explore issues relating to health, from the micro-context of the hospital ward to the broader socio cultural context”.
7 pages (1750 words) Essay
Secondary Quantitative Data
This paper briefly details the types of secondary quantitative data available to the social science researcher and describes the strengths and weaknesses of using such data in their research. Secondary data refers to "information which has already been collected by someone else and is available for you, the researcher, to inspect" (Clark, 1997, p.57).
13 pages (3250 words) Essay
Quantitative tools
The work of reservation sales agents is an essential part of the general strategy of Going, Inc., to which the work will be devoted. The work of reservations sales managers is specific and has its features, which should be taken into account when designing the strategy for their operations improvement.
2 pages (500 words) Essay
Quantitative Decision Making
Each subsection begins with a definition or introduction to the corresponding method. The subsection on Nonlinear Programming included a discussion of profit graphs with nonproportional relationships. The subsection on Decision Analysis
5 pages (1250 words) Essay
Quantitative Applications in Finance
However there are a few values consistent with tbe null hypothesis. We observe that p-value for the two-tailed test is less than the level of significance, therefore we reject the null hypothesis and
9 pages (2250 words) Essay
Applications
Use of unmanned ground vehicles would help the agency to curb cases of robbery that have been witnessed targeting its transportation vehicles hence compromising the security of confidential data records in transit. According to Zegart (2014, p.264), several homeland
1 pages (250 words) Essay
Get a custom paper written
by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger