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A manufacturer of a seasonal product faces the following demand for the four quarters of the year (100, 700, 300, 100). If the manufacturer uses the level strategy, how big should the warehouse (storage room) be? Provide you answer in number of units of the product. The manufacturer added a new product which requires the same machines and skills, takes the same time to make, and has the same size as the original product. The demand of this product for the four quarters is 500, 100, 500, 500. What should be the size of the warehouse following the addition of the new product?

A manufacturer of a seasonal product faces the following demand for the four quarters of the year (100, 700, 300, 100). If the manufacturer uses the level strategy, how big should the warehouse (storage room) be? Provide you answer in number of units of the product. The manufacturer added a new product which requires the same machines and skills, takes the same time to make, and has the same size as the original product. The demand of this product for the four quarters is 500, 100, 500, 500. What should be the size of the warehouse following the addition of the new product?

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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A manufacturer of a seasonal product faces the following demand for the four quarters of the year (100, 700, 300, 100).

If the manufacturer uses the level strategy, how big should the warehouse (storage room) be? Provide you answer in number of units of the product.

The manufacturer added a new product which requires the same machines and skills, takes the same time to make, and has the same size as the original product. The demand of this product for the four quarters is 500, 100, 500, 500. What should be the size of the warehouse following the addition of the new product?

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