Consider a work center with a demand rate of 20 parts per hour and using a container that can hold 5 parts. It is estimated that the container takes 30 minutes to cycle through the work cell. Assume a safety stock level of 10 percent. What is the (rounded) value of K for this system?
a. 1
b. 2
c. 3
d. Cannot be determined from the information given
c. 3
Business
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