must be done in word

all computations must be shown

1 A manufacturing company makes flashing lights for toys. Its production cost is related to the volume of production. The company operates its production facilities 300 days per year. It has orders for about 12,000 flashing lights per year and has the capacity of producing 100 per day. Setting up the production costs $50. If the production is 1000 or less, the cost of production for each light is $5, if it is greater than 1,000 but less than 1,500, the cost per light is $4.50, if it is greater than 1,500, the cost is $4.00. Holding cost is 20 percent of the production cost. What is the economic order quantity? TWELFTH EDITION OPERATIONS MANAGEMENT Sustainability and Supply Chain Management 1111 JAY HEIZER BARRY RENDER CHUCK MUNSON