The assumptions of the production order quantity model are met in a situation where annual demand is 5000 units, setup cost is $30, holding cost is $15 per unit per year, the daily demand rate is 20 and the daily production rate is 200. What is the production order quantity for this problem? O 149 units O200 units O 20 units O 716 units O None of the choices is correct
The assumptions of the production order quantity model are met in a situation where annual demand is 5000 units, setup cost is $30, holding cost is $15 per unit per year, the daily demand rate is 20 and the daily production rate is 200. What is the production order quantity for this problem? O 149 units O200 units O 20 units O 716 units O None of the choices is correct
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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![The assumptions of the production order quantity model are met in a situation where annual demand is 5000 units, setup cost is $30, holding cost is $15 per unit per year,
the daily demand rate is 20 and the daily production rate is 200. What is the production order quantity for this problem?
149 units
200 units
20 units
716 units
None of the choices is correct](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F60242f42-493f-4bd0-82bb-acea33cb80f8%2Fb4591b9d-089d-4901-b22e-5c56d8532baf%2F2g9b3h9_processed.png&w=3840&q=75)
Transcribed Image Text:The assumptions of the production order quantity model are met in a situation where annual demand is 5000 units, setup cost is $30, holding cost is $15 per unit per year,
the daily demand rate is 20 and the daily production rate is 200. What is the production order quantity for this problem?
149 units
200 units
20 units
716 units
None of the choices is correct
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