Labor cost for set-up is $500/hour. If the plant plans on level material use and operates 50 days per year, determine the time it takes to setup

Annual demand 5000
Daily production 1000
Lot size 700
Annual holding cost per unit $25


S = Q^2 ? H ? (1 - d/p)/(2D) = 700^2 ? 25 ? (1 - 5000/50/1000 )/(2 ? 5000 ) = $1102.5
$1102.5/$500 = 2.205 hours

Business

You might also like to view...

Define and explain the four types of reinforcement, including their effect on behavior. Give examples of each from your own experiences.   

What will be an ideal response?

Business

In a short essay, describe a questionnaire and discuss the three specific objectives of a questionnaire

What will be an ideal response?

Business

All of the following statements about innovativeness are true, except

A. it refers to a firm's efforts to find new opportunities and novel solutions. B. it refers to making decisions and taking risks without certain knowledge of probable outcomes. C. it is aimed at developing new products, services, and processes. D. it involves creativity and experimentation.

Business

Find the noun that requires an apostrophe ('). Indicate the correct possessive form of the noun with the apostrophe in the correct place. Example Jims files were misplaced. Jim's Mr. Nguyens house was sold at auction

Business