Solution-In which month should the batches be produced

In which month should the batches be produced

Reference no: EM131119391

A manufacturing firm has a contract to supply lathe chucks as per the following schedule. The product made during a month will be supplied at the end of the month. The setup cost is Rs. 1000/-, while the inventory carrying cost is Re. 1/- per piece per month. In which month should the batches be produced and of what size, so that the total of setup and inventory carrying cost arc minimized?

Month	Number of items
January	100
February	200
March	300
April	400
May	400
June	300

Reference no: EM131119391

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In which month should the batches be produced

Reference no: EM131119391

Reference no: EM131119391

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