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A toy manufacturer uses 45,980 rubber wheels per year for its popular dump truck series. The firm makes its own wheels, which it can produce
A toy manufacturer uses 45,980 rubber wheels per year for its popular dump truck series. The firm makes its own wheels, which it can produce at a rate of 900 per day. The toy trucks are assembled uniformly over the entire year. Carrying cost is $1.70 per wheel per year. Setup cost for a production run is $46. The firm operates 242 days per year. Determine the following: a. Optimal run size (Round your answer to a whole number, following normal rules of rounding.) b. Use your final answer from part a to determine minimum total annual cost for carrying and setup. (Round your answer to a whole number.) c. Cycle time for the optimal run size (Round your answer to two decimal points.)
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