Question: Dr . Dre has decided to open a bakery and is looking to ensure that he is operating with a level schedule. He determined his
Dr Dre has decided to open a bakery and is looking to ensure that he is operating with a level schedule. He determined his batch size to be loaves of bread given that the annual demand for bread is loaves of bread and the capacity of his shop. Dr Dre's only worker, Eminem, can bake units of bread and currently works days per year. Based on their calculations, they have determined that the holding cost is dollars per unit per year. Based on his desire to minimize the process variability, he wants to understand the current setup cost and time for his baking process.
Identify the lot size.
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