Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Part A is already done 3. Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days
Part A is already done
3. Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders for about 12,300 flashing lights per year and has the capability of producing 105 per day. Setting up the light production costs $52. The cost of each light is $0.95. The holding cost is $0.10 per light per year. a) What is the optimal size of the production run? units (round your response to the nearest whole number). b) What is the average holding cost per year? \$ (round your response to two decimal places). c) What is the average setup cost per year? \$ (round your response to two decimal places). d) What is the total cost per year, including the cost of the lights? $ (round your response to two decimal places). 3. Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders for about 12,300 flashing lights per year and has the capability of producing 105 per day. Setting up the light production costs $52. The cost of each light is $0.95. The holding cost is $0.10 per light per year. a) What is the optimal size of the production run? units (round your response to the nearest whole number). b) What is the average holding cost per year? \$ (round your response to two decimal places). c) What is the average setup cost per year? \$ (round your response to two decimal places). d) What is the total cost per year, including the cost of the lights? $ (round your response to two decimal places)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started