IE 334 Problem solving 1 1.A toy manufacturer makes its own wind-up motors, which are then put into its toys. While the toy manufacturing process is continuous, the motors are intermittent flow. Data on the manufacture of the motors appears below. Annual demand (D)=50,000 units Setup cost (S) = $85 per batch Carrying cost S.20 per unit per year Daily subassembly production rate = 1,000 Daily subassembly usage rate = 200 a. To minimize cost, how large should each batch of subassemblies be? b. Approximately how many days are required to produce a batch? c. How long is a complete cycle? d. What is the average inventory for this problem? e. What is the total inventory cost (rounded to nearest dollar) of the optimal behavior in this problem? 2. The time-phased net requirements for the base assemble in a table lamp over the next six weeks are given below. The setup cost for the construction of the base assembly $ 200, and the holding cost is $0.30 per assembly per week. Week 1 2 3 4 5 6 200 140 440 300 200 Requirements 335 a) What lot sizing do you obtain from the EOQ formula? b) Determine the lot sizes using the Wagner-Whitin Algorithm? c) Determine the lot sizes using the Silver-Meal Heuristic? d) Determine the lot sizes using the Least Unit Cost Heuristic? e) Determine the lot sizes using the Part-Period Balancing Heuristic? f) Compare the total costs with (a), (b), (c), (d), (e) and lot-for-lot policies. 3. The Weighty Trash Bag Company has the following price schedule for its large trash can liners. $0,30, 0Q < 500 C(Q) $0,29, 500 Q