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The Friendly Sausage Factory (FSF) can produce hot dogs at a rate of 5,500 per day. FSF supplies hot dogs to local restaurants at a steady rate of 350 per day. The cost to prepare the equipment for producing hot dogs is $64. Annual holding costs are 49 cents per hot dog. The factory operates 299 days a year.
a. Find the optimal run size. (Do not round intermediate calculations. Round your answer to the nearest whole number.)
Optimal run size
b. Find the number of runs per year. (Round your answer to the nearest whole number.)
Number of run
c. Find the length (in days) of a run. (Round your answer to the nearest whole number.)
Run length (in days)
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An analysis of the holding costs, including the appropriate annual holding cost rate.
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