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GATE Mechanical 2014 Set 3 | Question: 51

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A manufacturer can produce $12000$ bearings per day. The manufacturer received an order of $8000$ bearings per day from a customer. The cost of holding a bearing in stock is $Rs$. $0.20$ per month. Setup cost per production run is $Rs$. $50 0$. Assuming $300$ working days in a year, the frequency of production run should be

  1. $4.5$ days
  2. $4.5$ months
  3. $6.8$ days
  4. $6.8$ months

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