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A company manufactures hair dryers. It buys some of the components, but it makes the heating element, which it can produce at the rate of 853 per day. Hair dryers are assembled daily, 249 days a year, at a rate of 320 per day. Because of the disparity between the production and usage rates, the heating elements are periodically produced in batches of 2,133 units.

a. Approximately how many batches of heating elements are produced annually?

b. If production on a batch begins when there is no inventory of heating elements on hand, how much inventory will be on hand four days later?

c. What is the average inventory of elements, assuming each production cycle begins when there are none on hand?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91893522

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