What is the average number of elements in inventory

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Reference no: EM132248178

A company makes hair dryers. It buys some components but makes the heating element which it can produce at the rate of 875 per day.

Dryers are assembled every day, 235 days per year, at the rate of 370 per day.

Because of the disparity between the production and usage rates, the heating elements are periodically produced in batches of 2000 units.

What is the average number of elements in inventory, assuming that each production cycle begins with none in inventory.

Reference no: EM132248178

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