How frequent should a production run be made and what would be your comment? Case: Dayo Brothers

How frequent should a production run be made and what would be your comment?

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Case: Dayo Brothers A contractor has' to supply 10,000 paper cones per day to a Textile unit. He finds that, when he starts a production run, he can produce 25000 paper cones per day. The cost of holding a paper cone in stock for one year is 2 paise and setup cost of production run is Rs. 18. Working days of the factory are 300 in a year. If he runs a factory for all 365 days of the year, what would be your comment? Case: Dayo Brothers A contractor has' to supply 10,000 paper cones per day to a Textile unit. He finds that, when he starts a production run, he can produce 25000 paper cones per day. The cost of holding a paper cone in stock for one year is 2 paise and setup cost of production run is Rs. 18. Working days of the factory are 300 in a year. If he runs a factory for all 365 days of the year, what would be your comment?

Answer rating: 100% (QA)

Answer Production run has to made after 3 days Explanation ... View the full answer