Question
A sausage factory can produce European wieners at a rate of 510 kg per day. It supplies wieners to local stores and restaurants at a
A sausage factory can produce European wieners at a rate of 510 kg per day. It supplies wieners to local stores and restaurants at a steady rate of 90 kg per day. The cost to prepare the equipment for producing European wieners is $16. The annual holding cost is $2 per kg of wieners. The factory operates 290 days a year. (Round the final answers to the nearest whole number.) (10 Points)
a. Calculate the optimal production run quantity. (Do not round intermediate calculations.)
b. Calculate the number of production runs per year.
c. Calculate the length (in days) of a production run.
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