The Friendly Sausage Factory (FSF) can produce hot dogs at a rate of 5,000 per day. FSF

Question:

The Friendly Sausage Factory (FSF) can produce hot dogs at a rate of 5,000 per day. FSF supplies hot dogs to local restaurants at a steady rate of 250 per day. The cost to prepare the equipment for producing hot dogs is $ 66. Annual holding costs are 45 cents per hot dog. The factory operates 300 days a year. Find
a. The optimal run size.
b. The number of runs per year.
c. How many days does it take to produce the optimal run quantity?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Operations Management

ISBN: 978-0078024108

12th edition

Authors: William J Stevenson

Question Posted: