Assignment:
A company receives an order for 11 machined parts. The Unit sale price is $2,500.
Only one production can be made due to the long setup time required and short due date of the order.If 9 or fewer parts are acceptable, the customer will cancel the order. If 10 or 11 parts are acceptable, the customer will purchase all of them. If more than 11 parts are acceptable, the customer will buy only 11. The remaining parts, good or bad, can be sold $35 each. The cost of producing a part is estimated to be $450. Find the optimal lot size.
| lot size |
8 |
9 |
10 |
11 |
12 |
13 |
| 11 |
0.2 |
0.3 |
0.3 |
0.2 |
|
|
| 12 |
|
0.2 |
0.3 |
0.2 |
0.2 |
|
| 13 |
|
0.2 |
0.2 |
0.3 |
0.2 |
0.1 |
A company receives an order for 11 machined parts. The unit sale price is dollar 2, 500. Only one production can be made due to the long setup time required and short due date of the order If 9 or fewer parts are acceptable, the customer will cancel the order. If 10 or 11 parts are acceptable, the customer will purchase all of them. If more than 11 parts are acceptable, the customer will buy only m. he remaining parts good or bad, can be sold for dollar 35 each. The cost of producing a part is estimated to be dollar 450. Find the optimal lot size.
Your answer must be typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.