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Production model EPQ: Goodyear must decide on an economic production order for a certain line of tires that have a fairly steady demand pattern. In

Production model EPQ: Goodyear must decide on an economic production order for a certain line of tires that have a fairly steady demand pattern. In fact, daily demand is 400 per day on the average for 300 days per year. The production rate of the tires is 1000 per day when in production. The cost to set up the machines is $500 while the holding cost per unit is $5/unit/year. What would be the economic production order quantity for the product?

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