A manufacturer has a steady annual demand for 16,000 cases of sugar. It costs $10 to store 1 case for 1 year, $32 in set up cost

Question

A manufacturer has a steady annual demand for 16,000 cases of sugar. It costs $10 to store 1 case for 1 year, $32 in set up cost to produce each batch, and $18 to produce each case. Find the number of batches of sugar that should be manufactured annually if 320 cases of sugar are produced in each batch.

Kunduz · Accepted Answer

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