Question: The demand for product is 2 5 unit per month and item are withdrawn uniformly. The set - up cost each time a production is

The demand for product is 25 unit per month and item are withdrawn uniformly. The set-up cost each time a
production is run is Rs.150. The inventory holding cost is Rs.3 per unit per month.
a. Determine how often to make production run, if shortage are not allowed.
b. Determine how often to make production run, if shortage cost Rs.15per item per month

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