The Frankenmuth Fasteners Co

Multiple Choice

The Frankenmuth Fasteners Co. was implementing lean throughout their shop floor and needed to determine the number of containers at several of their work centers. In one such work center, the demand was 200 parts per hour, and the containers they used for this part held 50 parts. It normally takes 6 hours for a full container to make a circuit through the work cell and back to its input side, and they desired to carry 12% safety stock in the system.
-Based on the required safety stock of zero and the number of containers computed in Question 43, calculate the maximum inventory for this part.

A) 850 units
B) 1,350 units
C) 1,050 units
D) 1,500 units
E) 1,200 units