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Business, 12.12.2019 04:31 bonnysvalentine

Arepetitive manufacturing firm is planning on level material use. the following information has been collected. currently, the firm operates 250 days per year.

annual demand

22,000

daily demand

88

daily production

250

desired lot size (2 hours of production)

63

holding cost per unit per year

$40

a) what is the setup cost, based on the desired lot size?

b) what is the setup time, based on $40 per hour setup labor?

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