Homework:GRADED HW 6: Ch12 - numerical problems

Question 4, Problem 12.19

Part 2 of 4

HW Score: 57.29%, 4.58 of 8 points

Points: 0.25 of 1

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Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility

300

days per year. It has orders for about

11,600

flashing lights per year and has the capability of producing

100

per day. Setting up the light production costs

$48.

The cost of each light is

$1.00.

The holding cost is

$0.05

per light per year.a) What is the optimal size of the production run?

6026

units (round your response to the nearest whole number).b) What is the average holding cost per year?

$enter your response here

(round your response to two decimal places).