A Firm Wants to Develop a Level Material Use Schedule

question 54

Multiple Choice

A firm wants to develop a level material use schedule based on the following data. What should be the setup cost? $$\begin{array} { | l | l | } \hline \text { Desired lot size: } & 60 \\\hline \text { Annual demand: } & 40,000 \\\hline \text { Holding cost: } & \$ 20 \text { per unit per year } \\\hline \text { Daily production rate: } & 320 \\\hline \text { Work days per year: } & 250 \\\hline\end{array}$$

• A) $0.45
• B) $4.50
• C) $45
• D) $450
• E) $500

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Definitions:

Reward Dissatisfaction

The feeling of unhappiness or discontent when the rewards received are perceived as inadequate or unfair.

Perceived Inequity

The feeling of unfairness an employee experiences when they perceive a disparity between their inputs and outcomes compared to others.

Job Satisfaction

The level of contentment employees feel about their work, which can affect their performance and retention.

Employee Behaviour

The actions and conduct of individuals at their workplace, encompassing both task-related behaviors and interpersonal dynamics.