What is the best production order quantity

Assignment Help Operation Management

Reference no: EM132112603

Johnson Plastics makes and sells, among many other things, specialty plastic display cases for retail stores. Johnson’s expected annual demand for the display cases is 2,800 units, and average daily demand is 8 units. The production process is most efficient when 15 units per day are produced at a cost of $135 per unit. Setup cost is $11. Inventory carrying cost at Johnson is determined to be 10 percent annually.

a. What is the best production order quantity? (Round up your answer to the next whole number.)

Production order quantity _____ units

b. How many days is a required production run? (Round your answer to 3 decimal places.)

Number of days _______

Reference no: EM132112603

Questions Cloud

What order quantity should foods galore place : Calculate the total annual cost based on a product cost of $20/unit. What order quantity should Foods Galore place?

Research the committees of the house and state senate : How do you get out the vote? Given your issue stands, what voter groups do you need to target?

Calculate the time domain response : EET 3732 – Control Systems - valancia college - Find the smallest non-zero real part of the root of denominator - Calculate the time domain response

What percentage of the takeoff velocity did the plane gain : What percentage of the takeoff velocity did the plane gain when it reached the midpoint of the runway? Express your answer numerically.

What is the best production order quantity : What is the best production order quantity? How many days is a required production run?

How you would apply our motivation points in developing : Explain how you would apply our “motivation points” in developing a lecture, say, on orientation and training.

Calculate the force needed to open the hatch : A submarine is stranded on the bottom of the ocean with its hatch 27.0 m below the surface. Calculate the force (in N) needed to open the hatch from the inside.

Demonstrate knowledge of the federal system : Discuss how the U.S. Constitution, including its amendments, provides for "a government of laws."

What is the pressure now in the given case : A sump pump (used to drain water from the basement of houses built below the water table) is draining a flooded basement at the rate of 0.55 L/s.

User Account

All Pages