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Management Studies

The Friendly Sausage Factory (FSF) can produce hot dogs at a rate of 5,000 per day. FSF supplies hot dogs to local restaurants at a steady rate of 240 per day. The cost to prepare the equipment for producing hot dogs is $66. Annual holding costs are 45 cents per hot dog. The factory operates 296 days a year.

a. Find the optimal run size. (Do not round intermediate calculations. Round your answer to the nearest whole number.)

b. Find the number of runs per year. (Round your answer to the nearest whole number.)

c. Find the length (in days) of a run. (Round your answer to the nearest whole number.)

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91881325

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