The Cowboy Saddle Company manufactures plastic saddles that are used in the assembly process of their Mr.Ed doll.If the run time for producing a batch of saddles is 4 days,the rate of production is uniform at 600 saddles per day,and the uniform usage rate is 150 saddles per day,what is the maximum inventory quantity? (Round to the nearest integer value)

Question

Quizplus · Accepted Answer

The maximum inventory quantity can be calculated using the formula:

Maximum inventory quantity = (Run time * Rate of production) - (Uniform usage rate * Buffer time)

Here, the run time is given as 4 days and the rate of production is 600 saddles per day. The uniform usage rate is 150 saddles per day.

To calculate the buffer time, we need to know the maximum number of days for which the inventory needs to be maintained. This information is not given in the question. However, we can assume that the buffer time is equal to the run time, i.e., 4 days.

So, the maximum inventory quantity can be calculated as:

Maximum inventory quantity = (4 * 600) - (150 * 4) = 1800 saddles

Therefore, the best choice is B.

The Cowboy Saddle Company Manufactures Plastic Saddles That Are Used