The Handy Manufacturing Company manufactures small air conditioner compressors. The estimated demand for the year is 15,000 units. The setup costs for the production process is $600 per run, and the carrying costs is $20.00 per unit per year. The daily production rate s 100 units per dat, and demand has been 60 units per day. Assume 250 operating days per year.

Data line: _______

a.) Determine the optimal number of units to produce in each batch.

b.) determine the length of production run.