This company is
developing the accommodation of its materials in a warehouse where there are 3
doors input and four outputs (one per product). With the given information
determine the cost of the racks, equipment rooms, average stored material cost
and material handling cost with your proposed layout.
Annual demand is 5,000 lots for W; 45,000 lots for Y; 55,000 lots for Z and 4,900 lots
for X. Materials A have 8 rotations, B have 5, and C have 3. The cost of the racks
They are:
Drive In 4 high $ 30 per floor sqft
Drive In 3 high $ 27 per floor sqft
2 Deep Conventional $ 20 per floor sqft
1Deep Conventional $ 12 per floor sqft
10 'Forklift $ 30,000 ea Handling Cost $ 0.50 / linear foot
8 'Forklift $ 25,000 ea Handling Cost $ 0.75 / linear foot
Ceiling Sprinkler system $ 50 per ceiling sqft
Rack Sprinkler system $ 45 per rack level sqft.
Office Space 15 'x 20' $ 20,000
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