Question: please answer and show work! this question has many variation. will give thumbs up A manufacturer of copy machines sells 12,000 units annually of its
please answer and show work! this question has many variation. will give thumbs up
A manufacturer of copy machines sells 12,000 units annually of its large office copier (Model X), and 15,000 units annually of its smaller office copier (Model Y), for a total of 27,000 units. Each printer has a unique component which holds the print cartridge. Currently, the total annual cost (that is, the total production cost plus total inventory cost) is $331,000. Management is considering a single component to replace the two different components currently used for the copiers. The specifications for the new component are: Fixed setup cost (8) $300.00 Manufacturing cost (c) $12.00 Holding cost (h) 25% of manufacturing cost 5. How many units per batch should the company produce? 6. Calculate the total inventory cost of the new component
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