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units (Round your answer to the nearest whole number.) minutes (Round your answe

ID: 464318 • Letter: U

Question

units (Round your answer to the nearest whole number.)

minutes (Round your answer to two decimal places.)

61 . A producer of refrigerator compressors wants to implement a just-in-time production line to support demand from a neighboring appliance manufacturer. Demand from the appliance manufacturer is for 140 compressors a day. The production lead time is 2 days and the producer wants to have a 10% safety stock factor. This producer has also cut setup costs such that the optimal production quantity is 50 units. How many kanbans does this producer of compressors require?

(Round your answer to the most appropriate whole number.)

62. The XYZ Company wants to establish kanbans to feed a newly installed work cell. The daily production (demand) rate is 210 units. The production lead time is 3 days. They want to keep 1.00 days of safety stock on hand (the safety stock factor). The kanban size is 50 units. How many kanbans do they require?

53. Bill Kusch has a repetitive manufacturing facility in Kentucky that makes automobile bumpers. The facility operates 300 days per year and has annual demand of 60000 units They can produce up to 320 units each day. It costs $33 to set up the production line. The cost of each bumper is $110 and annual holding costs are $29 per unit. Setup labor cost is $14 per hour.

Explanation / Answer

Optimal size of production run = sqrt(2*Cs*D/Ch*(1-d/p))

Cs= production run setup cost =$33

D= annual demand = 60,000

Ch= holding cost = $29 per unit

d= per day demand = 60,000/300 = 200 unit per day

p = per day production = 320 unit per day

Optimal size of production run = 603.43 units

Using same formulae

setup time for optimal quantity as 250 = $5.66

Set up labour cost = $14 per hour

For $5.66 ,set up cost = 5.66*60/14 = 24.25 minute