Problem 12-4 (Algo) A toy manufacturer uses 42,840 rubber wheels per year for its popular...
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Problem 12-4 (Algo) A toy manufacturer uses 42,840 rubber wheels per year for its popular dump truck series. The firm makes its own wheels, which it can produce at a rate of 900 per day. The toy trucks are assembled uniformly over the entire year. Carrying cost is $1.40 per wheel per year. Setup cost for a production run is $39. The firm operates 238 days per year. Determine the following: a. Optimal run size (Round your answer to a whole number, following normal rules of rounding.) EPQ b. Use your final answer from part a to determine minimum total annual cost for carrying and setup. (Round your answer to a whole number.) Total Annual Inventory Cost c. Cycle time for the optimal run size (Round your answer to two decimal points.) Cycle Time d. Run time (Round your answer to two decimal points.) Run Time
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