nventory Control and Planning Neilsen Cookie Company sells

Last updated: 2/14/2023

nventory Control and Planning Neilsen Cookie Company sells its assorted butter cookies in containers that have a net content of 1 lb The estimated demand for the cookies is 1 000 000 1 lb ontainers The setup cost for each production run is 504 and the manufacturing cost is 0 6 for each container of cookies The cost of storing each container of cookies over the year is 0 41 ssuming uniformity of demand throughout the year and instantaneous production how many containers of cookies should Neilsen produce per production run in order to minimize the production ost Hint Following the method of Example 5 show that the total production cost is given by the function below Then minimize the function C on the interval 0 1 000 000 Round your answer to he nearest whole number C x 504 000 000 X containers of cookies per production run 0 205x 600 000