Assume that our firm produces type C fire extinguishers. We make 30,000 of these fire extinguishers per
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Assume that our firm produces type C fire extinguishers. We make 30,000 of these fire extinguishers per year. Each extinguisher requires one handle (assume a 300 day work your for daily usage rate purposes). Assume an annual carrying cost of $1.50 per handles production setup cost of $150, and a daily production rate of 300. What is the optimal production order quantity?
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