Daily usage of an assembly is 100 in a facility that operates 300 days of the year.Setup cost is $5 and annualized carrying cost is $160.Production of this assembly occurs at the rate of 400 per day when production of the assembly is underway.Lead time is 3 days;safety stock is day's production.What is the optimum kanban size,and number of kanbans?

Question

Daily usage of an assembly is 100 in a facility that operates 300 days of the year.Setup cost is $5 and annualized carrying cost is $160.Production of this assembly occurs at the rate of 400 per day when production of the assembly is underway.Lead time is 3 days;safety stock is  day's production.What is the optimum kanban size,and number of kanbans?

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The Answer of Daily usage of an assembly is 100 in a facility that operates 300 days of the year.Setup cost is $5 and annualized carrying cost is $160.Production of this assembly occurs at the rate of 400 per day when production of the assembly is underway.Lead time is 3 days;safety stock is  day's production.What is the optimum kanban size,and number of kanbans?

Daily Usage of an Assembly Is 100 in a Facility