A regional manufacturer of table lamps plans on using a manual kanban information system. On average the
Question:
a. If each container holds 15 lamps, what will be the total number of kabana tickets required? (Use the formula given in this section.)
b. What is the maximum WIP inventory the company can expect to have using this system?
c. Suppose that each lamp costs the firm $30 to produce. If carrying costs are based on a 20 percent annual interest rate, what annual carrying cost for WIP inventory is the company incurring? (You may wish to review the discussion of holding ICC sts in Chapter 4.)
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A company X which is into the production of table lamps plans to implement manual Kanab system The f...View the full answer
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Related Book For 
Operations Management
ISBN: 9781260547610
2nd International Edition
Authors: Gerard Cachon, Christian Terwiesch
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