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Business, 02.11.2019 05:31 zitterkoph

Ashop that makes candles offers a scented candle, which has a monthly demand of 360 boxes. candles can be produced at a rate of 36 boxes per day. the shop operates 20 days a month. assume that demand is uniform throughout the month. setup cost is $60 for a run, and holding cost is $2 per box on a monthly basis.

determine the following:

(a) the economic run size
(b) the maximum inventory
(c) the number of days in a run

the daily usage rate (u) is 18 boxes. the daily production rate (p) is 36 boxes.

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