Question

Demand for products bottled in PET bottles is project at 300,903 units per week. Everything in TFC operates on a 5-day per week basis. The VP of Supply Chain has set the lot size at 7 days. If you order the number of bottles in each order to cover the days in the lot size, on average, determine the average number of PET bottles that would be included in an order. Each pallet can hold 1080 empty PET bottles. Each delivery van can hold one pallet. How many vans will it take to complete each delivery?

Answer 1

To determine the average number of PET bottles included in an order, calculate the number of bottles needed for the lot size and the number of vans required to transport the bottles.

Step-by-step explanation:

To determine the average number of PET bottles that would be included in an order, we first need to calculate the number of bottles needed for the lot size. The lot size is 7 days, and the demand is projected at 300,903 units per week. So the number of bottles needed for the lot size is 7 multiplied by 300,903, which is 2,106,321 bottles.

Next, we need to calculate how many delivery vans are required to transport the bottles. Each pallet can hold 1080 empty PET bottles, and each delivery van can hold one pallet. Therefore, the number of vans required is the total number of bottles divided by the number of bottles per pallet, which is 2,106,321 divided by 1080. This gives us approximately 1,950 vans required.

So, on average, each order would include around 2,106,321 PET bottles, and it would take approximately 1,950 vans to complete each delivery.