GSCM 520 Analytics Exercise Inventory Management at Big 10 Sweaters Answer

Chapter 11

Analytics Exercise: Inventory Management at

Using the data provided in the text, calculate how much Rhonda and Steve made for taxes last year.

What was your reasoning behind using the aggregate demand forecasts when determining the size of your order rather than the individual school forecasts? Should you rethink this or is there a sound basis for doing it this way?

How many sweaters should you order this year? Write down your order by individual school. Document your calculations in your spreadsheet. Calculate this based on the aggregate forecasts and also the forecast by individual school.

What do you think they could make this year? They are paying for $40,000 and you expect your benefit package addition would be about $1000 per year. Assume that they ordered based on the aggregate forecasts.

P.S. Excel sheet is not part of answer (download)

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