How much should be delivered every x days to minimize the
average daily cost in the production cycle between
deliveries?
Assuming the manufacturer uses raw materials to produce p products
each day. Suppose that each delivery of a particular material is
$d, whereas the storage of that material is x dollars per unit
stored per day. (One unit is the amount required to produce one
product).
Get Answers For Free
Most questions answered within 1 hours.