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XY manufacturing company produce bar soap in production line, in annual 40,000 cases, estimated annual demand is 20,000 cases, with the constant demand rate. In the production process fixed cost associated with runs are Rs. 800. The annual inventory holding cost was estimated as Rs. 40 per case.
a. Calculate EOQ
b. Number of Production run per year?
c. Length of production run
d. Time during inventory is depleted?
e. Re-order level​
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