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ellam Images prints snack food bags on long rolls of plastic film. The plant operates 250 days a year. The daily production rate is 6,000 bag nd the daily demand is 3,600 bags. The cost to set up the design for printing is $380. The holding cost is estimated at 4 cents per bag. (a) What is the recommended production lot size? (Round your answer to the nearest whole number.) (b) If there is a six-day lead time to set up the line, what is the recommended reorder point?

ellam Images prints snack food bags on long rolls of plastic film. The plant operates 250 days a year. The daily production rate is 6,000 bag nd the daily demand is 3,600 bags. The cost to set up the design for printing is $380. The holding cost is estimated at 4 cents per bag. (a) What is the recommended production lot size? (Round your answer to the nearest whole number.) (b) If there is a six-day lead time to set up the line, what is the recommended reorder point?

Applications and Investigations in Earth Science (9th Edition)
Applications and Investigations in Earth Science (9th Edition)
9th Edition
ISBN:9780134746241
Author:Edward J. Tarbuck, Frederick K. Lutgens, Dennis G. Tasa
Publisher:Edward J. Tarbuck, Frederick K. Lutgens, Dennis G. Tasa
Chapter1: The Study Of Minerals
Section: Chapter Questions
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Kellam Images prints snack food bags on long rolls of plastic film. The plant operates 250 days a year. The daily production rate is 6,000 bags, and the daily demand is 3,600 bags. The cost to set up the design for printing is $380. The holding cost is estimated at 4 cents per bag. (a) What is the recommended production lot size? (Round your answer to the nearest whole number.) (b) If there is a six-day lead time to set up the line, what is the recommended reorder point?
Transcribed Image Text:Kellam Images prints snack food bags on long rolls of plastic film. The plant operates 250 days a year. The daily production rate is 6,000 bags, and the daily demand is 3,600 bags. The cost to set up the design for printing is $380. The holding cost is estimated at 4 cents per bag. (a) What is the recommended production lot size? (Round your answer to the nearest whole number.) (b) If there is a six-day lead time to set up the line, what is the recommended reorder point?
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