Determine the optimum number of production runs


The Old frothingslosh pale stale ale company sells type z cardboard shipping boxes (their beer failed). The firm requires 500 boxes each week, and it meets this demand with a production capacity of 100 boxes per day (monday through friday) Set-up costs before each run are $30.00. Holding costs are $.03 per box per day. There are 310 production days per year. Determine the optimum number of production runs. What is the maximum size of the inventory? How long does it take for inventory to reach this maximum?

Request for Solution File

Ask an Expert for Answer!!
Operation Management: Determine the optimum number of production runs
Reference No:- TGS088140

Expected delivery within 24 Hours