Problem 10-11 (Algorithmic) Assume that a production line operates such that the production lot size model of Q 2DCO . V V(1-) is applicable. Assume that D-6,700 units per year, Co-$110, and Ch - $2 per unit per year. a. i. 8,400 units per year 1. 11,500 units per year iii. 33,500 units per year iv. 95,000 units per year If required, round your answers to the nearest whole number. 1. P = 8,400 . P - 11,500 11. P = 33,500 iv. P = 95,000 Q = *= Q* q* = b. Compute the EOQ recommended lot size using equation Q = If required, round your answer to the nearest whole number. Comparing the EOQ lot size to the production lot sizes in parts i, ii, iil, and iv, what two observations can you make about the relationship between the EOQ model and the production lot size model? Production Lot Size Q* is always greater than the EOQ Q* with the same D, Co, and Ch values. As the production rate P increases the recommended Q* decreases, but always remains greater than the EOQ Q. Problem 10-11 (Algorithmic) Assume that a production line operates such that the production lot size model of Q 2DCO . V V(1-) is applicable. Assume that D-6,700 units per year, Co-$110, and Ch - $2 per unit per year. a. i. 8,400 units per year 1. 11,500 units per year iii. 33,500 units per year iv. 95,000 units per year If required, round your answers to the nearest whole number. 1. P = 8,400 . P - 11,500 11. P = 33,500 iv. P = 95,000 Q = *= Q* q* = b. Compute the EOQ recommended lot size using equation Q = If required, round your answer to the nearest whole number. Comparing the EOQ lot size to the production lot sizes in parts i, ii, iil, and iv, what two observations can you make about the relationship between the EOQ model and the production lot size model? Production Lot Size Q* is always greater than the EOQ Q* with the same D, Co, and Ch values. As the production rate P increases the recommended Q* decreases, but always remains greater than the EO