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How Many Parts to Make at Once

Ford W. Harris
Operations Research
Vol. 38, No. 6 (Nov. - Dec., 1990), pp. 947-950
Published by: INFORMS
Stable URL: http://www.jstor.org/stable/170962
Page Count: 4
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How Many Parts to Make at Once
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Abstract

Interest on capital tied up in wages, material and overhead sets a maximum limit to the quantity of parts which can be profitably manufactured at one time; "set-up" costs on the job fix the minimum. Experience has shown one manager a way to determine the economical size of lots.

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