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a t-shirt manufacturer has opened a factory outlet store adjacent to the production plant. the plant manager wishes to optimize the inventory of the company's
a t-shirt manufacturer has opened a factory outlet store adjacent to the production plant. the plant manager wishes to optimize the inventory of the company's best-selling shirt. the monthly demand for the shirt is 3000 and the plant works 240 days per year. the production rate is 200 shirts per day. the cost to prepare the equipment to start a production run is $200 and the annual inventory carrying cost is $3.6 per shirt per year.
a. what should be the optimum quantity of shirts to produce(one decimal)
b.what is the maximum inventory achieved during a production run (one decimal)
c.how many production runs are needed to meet the annual demand( one decimal)
d.what is the length of a production run in days( one decimal)
e.what is the total annual cost of producing and storing the company's best-selling shirt (one decimal)
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