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  1. Avatar of houyam says

    Hi,

    am unable to see any of the lecture videos, even after refreshing many times and following the support instruction.
    i didnt face these problems in last december revision time, did open tuition change anything in the format of the videos since last december?

  2. avatar says

    i have a problem with connectivity.When i play these lectures they would do fine upto around 5 mins and its starts to freeze in intervals of 2 then 5 upto 20 seconds at times and would deteriorate until it does not play at all.what can i do to rectify this problem

    • Avatar of johnmoffat says

      You can include it, but only if asked for. It is not relevant for the decision because it is the same over the year regardless of how many are ordered each time.

      However, the one time when it has to be considered is when there are quantity discounts (see the next lecture).

  3. avatar says

    Thank you for the opentuition initiative. Overall it is outstanding. I just have one comment regarding this section. The average assumption used is too simple. This number should either be given, or additional information provided to calculate it. eg: In the example, the 500 unit average is given as 250, by simply dividing 500 by 2. If stock levels are being ordered every 4.5 days, one would assume the average sales per day to be around 111. This would make the average stock level closer to 333 for the year (try it out with ta simple excel table). By over simplifying examples in the material, a problem could be created in the exam and time could be wasted by the students trying to get their heads around the disconnect.

    • Avatar of johnmoffat says

      I am sorry, but you are completely wrong!!!

      If 500 units are ordered each time, then the inventory levels vary between 500 and zero and the average inventory is 250 units. The days between orders will be 365 / number of orders, and the number of orders will be the demand per year / the order quantity. It will not be a random 4.5 days!

      The EOQ formula itself depends on the assumption that the average inventory level is the order quantity divided by 2 (try proving it yourself, even if though the proof is not in the syllabus).

      We do not over simplify the examples and a problem cannot be created in the exam as a result. To say that time could be wasted by students trying to get their heads round the disconnect is quite simply rubbish – there is no disconnect.

    • Avatar of johnmoffat says

      The demand is 40,000!!!

      So it is 40000/1250*20 which is equal to $640!!

      (I know that in a hurry I wrote 4000 instead of 40000, but it should have been obvious that it was meant to be 40000 for the same reason that it was 40000 for each of the other 4 calculations!)

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