Question

Given the following information pertaining to item AX143, determine the appropriate number of kanban cards that should be used to support production.

Demand rate = 500 units/week
Time for container to complete circuit = 2 weeks
Safety stock = 30 percent
Size of container = 5 units

Answer 1

=260 units.

Step-by-step explanation:

General formula for calculating Kanban Cards :
`(DT(1+x))/(C)`

=
`(500*2(1+0.30))/(5)`

=
`(1300)/(5)`

=260 units.