**Question: **A production company can produce its products at a rate of 2500 units per day. It supplies to a retailer at a steady rate of 200 units per day. The cost to prepare the equipment for producing is $50. Annual holding cost is $ 1 per unit product. The company operates 320 day a year. Please find

a.)The optimal run size

b.) The number of runs per year and the average inventory.

**Solution:**The solution consists of 153 words (2 pages)

**Deliverables:**Word Document