The Arco Appliance Company uses a Kanban system to make flanges that are a component used in several of their products. The waiting time for a container of the flanges during production is 0.40 day; average processing time is 0.25 day per container. Each container holds 100 flanges. The company uses 1,500 flanges a day in the production of its products.


The company has a safety stock requirement of 10% of the authorized inventory for flanges. Using the information in Case 4.1., calculate the number of Kanban containers needed for the flanges.

		between eight and eleven
		between four and eight
		eleven or more
		four or fewer

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