Business, 03.04.2020 20:18 highspeed3371

Company Tecco requires a special component at a daily demand of 100 units. This component is produced at a rate of 500 units/day. Setup cost is150, and the annual holding rate is 0.25. The unit cost is $80. We assume the plant operates year-round, and there are 360 days per year. a. What is the optimal order quantity? b. What is the maximum inventory? c. What is the minimum total inventory cost? d. How many production cycles of a year? e. What is the length of a production period?

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Company Tecco requires a special component at a daily demand of 100 units. This component is produce...

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