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Non-Slip Tile Company (NST)has Been Using Production Runs of 100,000

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Essay

Non-Slip Tile Company (NST)has been using production runs of 100,000 tiles,10 times per year to meet the demand of 1,000,000 tiles annually.The setup cost is $5000 per run,and holding cost is estimated at 10% of the manufacturing cost of $1 per tile.The production capacity of the machine is 500,000 tiles per month.The factory is open 365 days per year.​
a.What production schedule do you recommend?
b.How much is NST losing annually with its present production schedule?
c.What is the maximum number of tiles in inventory under the current policy? Under the optimal policy?
d.What fraction of time is the machine idle (not producing tiles)under the current policy? Under the optimal policy?


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A procedure to determine eligibility for certain forms of financial aid or social services based on the income and assets of an applicant.

Indexing

The practice of adjusting financial figures or static amounts by a designated benchmark or index to reflect changes in economic indicators.

Categorical Grants

Federal funds provided to states and localities, earmarked for specific, narrowly defined purposes, usually with conditions attached.

Unfunded Mandates

Regulations or requirements imposed by higher levels of government without providing corresponding funds to cover the costs.

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