What is the production quantity that minimizes total cost

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Reference no: EM131176276

The Tableau Co. produces tables. Annual demand for the tables is estimated at 14,000. The assembly department needs the table frames at a rate of 1700 per month. The frame department can produce 2900 frames per month. The setup cost is $100, the unit selling price is $1000, and the annual holding cost is $13 per unit. What is the production quantity that minimizes total cost?

Round your answer to the nearest integer value.

Reference no: EM131176276

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