Question: An auto assembly line mixes the manufacture of sedans and wagons. The demand for both sedans and wagons is the same, 3000 units/week. The production sequence is alternated as: 4 weeks of sedan followed by 4 weeks of wagon, and this cycle is repeated over and over.

a. What batch size is needed for sedans (or wagons)?

b. How much is the maximum inventory of sedans (or wagons)?

c. How much is the average inventory of sedans (or wagons)?