Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help Auria will produce a venice component and knows that each start generates a cost of 5,000 pesos. Its production capacity is 150,000 units
please help
Auria will produce a venice component and knows that each start generates a cost of 5,000 pesos. Its production capacity is 150,000 units and the cost per unit is $ 200, the annual demand is 100,000 units, and the inventory rate is 15% per month. Consider that the product allows shortages and the cost of goodwill loss is $ 0.3 for each unit of said items, while the penalty cost if they do not deliver is 30 / unit / year. a) Calculate the total annual cost and the quantity Q required. Auria will produce a venice component and knows that each start generates a cost of 5,000 pesos. Its production capacity is 150,000 units and the cost per unit is $ 200, the annual demand is 100,000 units, and the inventory rate is 15% per month. Consider that the product allows shortages and the cost of goodwill loss is $ 0.3 for each unit of said items, while the penalty cost if they do not deliver is 30 / unit / year. a) Calculate the total annual cost and the quantity Q requiredStep 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