Blaine Abrams is the owner of a small company that produces electric scissors us

Question

Blaine Abrams is the owner of a small company that produces electric scissors used to cut fabric. The annual demand is for 75,000 scissors, and Blaine produces the scissors in batches. On average, Blaine can produce 1,000 pairs of scissors per day during the production process. Demand for scissors has been about 250 pairs of scissors per day. The cost to set up the production process is $800, and it costs Blaine $0.90 to carry 1 pair of scissors for one year. How many scissors should Blaine produce in each batch? I need this in Excel format. Thanks!

Explanation / Answer

Demand                                75000
Cost per order                         800
Scissors Ordered                     1000
Carrying Cost                           0.9
Cost per Pump                         50
Demand per day                     250

Ordering Cost                         60000
Holding Cost                           22500
TOTAL COST                         23500

IN EACH BATCH 692.820323

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.