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A manufacturer produces three products on one machine. No other products are assigned to this equipment. The holding cost is $2/$.year and the data

A manufacturer produces three products on one machine. No other products are assigned to this equipment. The  

A manufacturer produces three products on one machine. No other products are assigned to this equipment. The holding cost is $2/$.year and the data for the items are given in the following table. Assuming each product is produced each cycle; there are 24 hours in one day and 250 days in one year, approximately what is the optimal order quantity for product 1? Item D; (units/year) v; ($/unit) P; (units/year) S; ($) K; (hour) H; ($) a. 76 O b. 97 O c. 113 d. 126 e. 84 1 6,000 30 30,000 30 16 144,000 2 1,200 40 10,000 50 18 42,240 3 4,000 50 16,000 40 20 150,000

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