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1. Wilson Publishing Company produces books for the retail market.Demand for a current book is expected to occur at a constant annualrate of 7,700 copies. The cost of one copy of the book is $13. Theholding cost is based on an 20% annual rate, and production setupcosts are $165 per setup. The equipment on which the book isproduced has an annual production volume of 27,000 copies. Wilsonhas 250 working days per year, and the lead time for a productionrun is 17 days. Use the production lot size model to compute thefollowing values:

   1. Minimum cost production lot size. Round your answer to thenearest whole number. Do not round intermediate values.
      
      Q^* =
      
   2. Number of production runs per year. Round your answer to twodecimal places. Do not round intermediate values.
      
      Number of production runs per year =
      
   3. Cycle time. Round your answer to two decimal places. Do notround intermediate values.
      
      T = days
      
   4. Length of a production run. Round your answer to two decimalplaces. Do not round intermediate values.
      
      Production run length = days
      
   5. Maximum inventory. Round your answer to the nearest wholenumber. Do not round intermediate values.
      
      Maximum inventory =
      
   6. Total annual cost. Round your answer to the nearest dollar. Donot round intermediate values.
      
      Total annual cost = $  
      
   7. Reorder point. Round your answer to the nearest whole number.Do not round intermediate values.
      
      r =