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Superchips manufactures a type of inexpensive chips for assembly into several models of its microcomputers. The annual demand for this part is 12D, units. The
Superchips manufactures a type of inexpensive chips for assembly into several models of its microcomputers. The annual demand for this part is 12D, units. The annual inventory carrying cost is $3 per unit and the cost of preparing an order and making production setup for the order is Sis-Dd. The company operates 30D days per year. The machine used to manufacture this part has a production rate of 2300 units per day. a) Calculate the optimum lot see. b) How many lots are produced in a year? c} What is the average inventory for Audio Max? d} What is the annual cost of preparing the orders and making the setups for making chips
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