Q. Dine corporation is both a maker also a user of brass couplings. Firm operates 220 days a year also uses couplings at a steady rate of 50 per day. Coupling can be marked at a rate of 200 per day. Annual storage cost is $2 per coupling also machine cost is $70 per run.
a) Determine economic run quantity.
b) Approximately elucidate how many runs per year will there be?
c) Compute maximum inventory level