Question: Solve the following Economic Production Quantity problem using the following data: A company operates 2 2 0 days per year. They use brackets at a

Solve the following Economic Production Quantity problem using the following

data:

A company operates 220 days per year. They use brackets at a steady rate of 50

per day. The brackets can be produced at the rate of 200 per day. Annual

storage cost is $2.00 per bracket and machine setup cost is $70 per run.

a. What is the Economic Production Quantity?

b. How many production runs will be needed per year (approximate)?

c. What is Imax?

d. What is average inventory?

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