Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A company manufactures hair dryers. It buys some of the components, but it makes the heating element, which it can produce at the rate of
A company manufactures hair dryers. It buys some of the components, but it makes the heating element,
which it can produce at the rate of per day. Hair dryers are assembled days a year, at a rate of per
day. Because of the disparity between the production and usage rates, the heating elements are periodically
produced in batches of units.
a Approximately how many batches of heating elements are produced annually?
b If production on a batch begins when there is no inventory of heating elements on hand, how much inventory
will be on hand two days later?
c What will be the average level of inventory of the heating element, assuming each production cycle begins
when there is no inventory on hand?
d The same equipment could also be used to make a component for another of the companys products. That
job would require four days per cycle of the element. Setup time for making a batch of the heating elements is
a half day. Is there enough time to do this job between production of batches of heating element? Explain
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started