Question: QUESTION 13 Answer this question and the next one according to the following statement. A coffee roaster in Austin TX has opened a retail store

QUESTION 13 Answer this question and the next one according to the following statement. A coffee roaster in Austin TX has opened a retail store in Dallas TX. The plant manager in Austin wishes to optimize the inventory costs of the company's best- selling coffee. The annual demand for the coffee is 36,000 bags and the plant works 240 days per yr. The plant can roast the coffee at a rate of 400 bags per day. The cost to prepare the equipment to start a production run is $1,000 and the annual inventory carrying cost is $5 per year. What should be the optimum quantity of coffee to produce

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