1.

A manufacturer can produce 12000 bearings per day. The manufacturer received an order of 8000 bearings per day from a customer. The cost of holding a bearing in stock is Rs. 0.20 per month. Setup cost per production run is Rs. 500. Assuming 300 working days in a year, the frequency of production run should be

A. 4.5 days
B. 4.5 months
C. 6.8 days
D. 6.8 months
Answer» D. 6.8 months


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