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A shop that makes candles offers a scented candle, which has a monthly demand of 540 boxes. Candles can be produced at a rate of
A shop that makes candles offers a scented candle, which has a monthly demand of 540 boxes. Candles can be produced at a rate of 35 boxes per day. The shop operates 20 days a month. Assume that demand is uniform throughout the month. Setup cost is $74 for a run, and holding cost is $1 per box on a monthly basis. Determine the the economic run size:
a.136
b.592
c.1237
d.283
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