Essay
Daily usage of a product is 10 units. Since the plant operates 250 days per year, this leads to annual usage of 2500 units. Setup cost is $60 and annualized carrying cost is $80. Daily production of this product is 14 units. Lead time is three days, and safety stock is one day's production. What is optimal kanban size? What is the optimal number of kanbans?
Correct Answer:

Verified
Correct Answer:
Verified
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