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Your company manufactures turbine blades for engines in production batches for each type. For one type of blade, the A39T, you have an annual demand of 10,000 units. It costs you $1000 and takes four days to set up each manufacturing run. Holding (storage) cost is $0.50 per unit per year. Once production is set up, 80 units can be produced per day. Daily demand rate for the units is 60 per day.
a. What is the most economical number to produce per production run?
b. How long is each production cycle?
c. How many days, exclusive of setup time are you manufacturing A39T blades?
d. What is the annual holding cost?
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A PAPER MILL PRODUCES TWO GRADES OF PAPER VIZ., X AND Y. BECAUSE OF RAW MATERIAL RESTRICTIONS, IT CANNOT PRODUCE MORE THAN 400 TONS OF GRADE X PAPER AND 300 TONS OF GRADE Y PAPER I
) A time study analyst observes a worker over a period of time and calculates that the worker required 90.0 minutes per unit produced. The worker was rated at a 105 percent perfor
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You buy a 5 year bond with a 8% coupon rate, a YTM of 8% and a $80,000 face value. What will your annualized holding period return (HPR) on this investment be if you hold the bond
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