ABC Company has to supply 30,000 switches per year to its customer. This demand is fixed and known. The customer uses its items in assembly operations and has no storage space. A shortage cost of Rs. 10/unit is incurred if the company fails to deliver the required units. The set up cost per run is Rs. 3,500. Determine
(i) the optimum run size, q
(ii) the optimum level of inventory at the beginning of any period
(iii) the optimum scheduling period
(iv) the minimum total expected annual cost.