What is the optimal size of the production run

Assignment Help Operation Management

Reference no: EM131766650

Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders for about 11,900 flashing lights per year and has the capability of producing 105 per day. Setting up the light production costs $49. The cost of each light is $1.05. The holding cost is $0.10 per light per year. What is the optimal size of the production run? average holding cost per year average average set up cost per year?

Reference no: EM131766650

Questions Cloud

Determine the bonds issue price on january : For each of the following three separate situations, determine the bonds issue price on January 1, 2013 & prepare the journal entry to record their issuance

What is melody net income for may : Melody's Piano School operations for the month of May, What is Melody's Net Income for May using the cash basis of accounting

Create a solid communication plan for your change initiative : Create a solid communication plan for your change initiative. Ascertain how each of the steps applies to your specific organization.

What circumstances do you think formal interviews : Under what circumstances do you think formal interviews can be useful?

What is the optimal size of the production run : Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. What is the optimal size of the production run?

Determine the variable cost per machine hour : Using the high-low method to estimate the cost equation, determine the variable cost per machine hour

Discuss risk methodologies used in capital budgeting : Respond to the following scenario with your thoughts, ideas, and comments. Be substantive and clear, and use research to reinforce your ideas.

Calculate the MNKs operating profits : Variable shipping and other selling expenses would be an additional $1 per unit for the special order. If special order is accepted, MNK's operating profits be:

Natural barriers to entry-contrived deterrence as barrier : Discuss the difference between natural barriers to entry and contrived deterrence as a barrier to entry.

User Account

All Pages