Concept explainers
a)
To determine: The daily demand of the product.
Introduction: Inventory management is the process of ordering, storing and using inventory of the company such raw material, components and finished goods. It governs the flow of goods from manufacturers to warehouse and to the point of sale. The key function is to maintain record of flow of new or returned products which enters or leaves the company.
b)
To determine: The number of day production must be carried out.
c)
To determine: The number production runs per year and annual setup cost.
d)
To determine: The maximum and average inventory levels.
e)
To determine: The total annual setup cost and holding cost.
f)
To determine: The number of refrigerators to be produced in each production line to minimize the total annual inventory cost and the net saving in inventory.
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- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,