Answer:
B) The company should have 8 production runs each year
Explanation:
Given :
Uniform annual demand, = 16000
Total cost, C = 500y + 2x
xy = 16000

Let's substitute
for x in C.
Therefore, we have :


In order to minimize the total storage and setup costs,
Differentiating wrt y:




In order to minimize the total storage and setup costs, the company should have 8 production runs each year
Types of Ownership. Each type of ownership functions differently and places you in a slightly different role within the company. ...
Sole Proprietorship. Perhaps the most basic type of business entity is the sole proprietorship. ...
Partnership. ...
Limited Liability Company. ...
Corporation. ...
Choosing the Right Option.