A book publisher wants to know how many times a year a print run should be scheduled. Suppose it costs $1100 to set up the printing process, and the subsequent cost per book is so low it can be ignored. Suppose further that the annual warehouse cost is $5 times the maximum number of books stored. Assuming 4500 copies of the book are needed per year, how many books should be printed in each print run? Note that since the warehouse cost is based on the maximum number of books held and not the average, the

Answer and Explanation:

According to the scenario, computation of the given data are as follow:-

Set up printing process cost = $1,100

Annual warehouse cost = $5

Copies of the book needed per year = 4,500

No. of book publisher should print

= 995 books in each print run

Required No. of print run

= Copies of the book needed per year ÷ No. of book publisher should print

= 4,500 ÷ 995

= 4.523

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