f the wheel is $ 47. The firm operatyes 243 days per year. Determine each of the following: a-Optimal run size b-Use your final answer from part a- to determine minimum total annual cost for carrying and setup c-Cycle time for the optimal run size d-Run time

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 33P: Assume the demand for a companys drug Wozac during the current year is 50,000, and assume demand...
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 A toy manufacturing uses 51030 rubber wheels per year for its popular dump truck series. The firm makes its own wheels, which it can can produce at a rate of 800 per day. The toy trucks are assembled uniformly ( at a constant rate ) over the entire year. Carrying cost is $ 1.50 per wheel per year. setup cost for the production run of the wheel is $ 47. The firm operatyes 243 days per year. Determine each of the following:

a-Optimal run size

b-Use your final answer from part a- to determine minimum total annual cost for carrying and setup

c-Cycle time for the optimal run size

d-Run time

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