Question: what is the correct answer for question 1? Use the text below to answer the subsequent questions. A supplier to the Ford Motor Company stamps
what is the correct answer for question 1?
Use the text below to answer the subsequent questions. A supplier to the Ford Motor Company stamps out parts using a press. Changing a part type requires the supplier to change the die on the press, which currently takes four hours to do. The supplier estimates that each hour spent on the changeover costs $250. Demand for parts is 1,000 per month. Each part costs the supplier $100, and the supplier incurs an annual holding cost of 25% of the cost of a part or a unit. Note: As you work on this problem, try to avoid the following typical errors: Including cost of part in holding costs. Part cost is 1 time and is not incurred over time when held in inventory. Not converting R to annual demand, given holding costs are annual. Incorrect identification of data in question. Ensure you review terminology in the this module to help in correct classification of R, S, and H. Question 1 2 pts What is the annual demand, or the Throughput, R? (in parts or units) 500 10,000 12,000 aeROStep by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
