Jerry Allison Is in Charge of Production for a Small

question 22

Multiple Choice

Jerry Allison is in charge of production for a small producer of plumbing supplies. The cricket model has an estimated annual demand of 12,000 units and can be produced at a production rate of 90 units per day. The company produces (and sells) the cricket 300 days per year. Setup cost to produce this model averages $22 and the item has a holding cost of $3 per unit per year.
-Use the information in Scenario D.1.If Jerry chooses to produce the batch size suggested by the economic production lot size (ELS) model,what is the annual cost?

• A) Less than or equal to $900
• B) Greater than $900 but less than or equal to $950
• C) Greater than $950 but less than or equal to $1000
• D) Greater than $1000

---

Definitions:

Neo-absolutism

Neo-absolutism, also known as neo-absolutist, refers to the 19th-century political trend in certain European monarchies to reinforce absolute monarchy powers amidst modernizing reforms.

Liberals and Nationalists

Advocates for liberal policies favoring freedom, democracy, and equality, and nationalists who emphasize strong national identity and sovereignty, often working together in 19th-century European movements for independence and reform.

Multi-ethnic

Describes a society or group that contains members from diverse ethnic backgrounds.

Austrian Empire

A centralized absolute monarchy in Central Europe from 1804 to 1867, which became the Austro-Hungarian Empire after the Compromise of 1867.