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A drone manufacturer uses approximately 32,000 silicon chips annually. The chips are used at a steady rate during the 240 days a year that the

  • A drone manufacturer uses approximately 32,000 silicon chips annually. The chips are used at a steady rate during the 240 days a year that the plant operates. Annual holding cost is $3 per chip, and ordering cost is $120.
  •  Determine the following: 
  • a) The optimal or economic order quantity.
  • b) The number of workdays in an order cycle.

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