Flores Manufacturing, Inc., is moving to kanbans tosupport its electronic-boa rd assembly lines. Detennine the size of thekanban for subassemblies and the number of kanbans needed. F)cSetup cost = $25Annual holding cost = $200 per subassemblyDaily production = 400 subassembliesAnnual usage = 50,000 (=50 weeks X 5 days eachX daily usage of200 subassemblies)Lead time = 6 daysSafety stock = I day's production of subassemblies

Practical Management Science
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Chapter2: Introduction To Spreadsheet Modeling
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Flores Manufacturing, Inc., is moving to kanbans to
support its electronic-boa rd assembly lines. Detennine the size of the
kanban for subassemblies and the number of kanbans needed. F)c
Setup cost = $25
Annual holding cost = $200 per subassembly
Daily production = 400 subassemblies
Annual usage = 50,000 (=50 weeks X 5 days each
X daily usage of200 subassemblies)
Lead time = 6 days
Safety stock = I day's production of subassemblies
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