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- Federated Electronics, Ltd., manufactures display screensand monitors for computers and televisions, which it sellsto companies around the world. It wants to construct a new warehouse and distribution center in Asia to serve emerg-ing markets there. It has identified potential sites in the port cities of Shanghai, Singapore, Pusan, Kaohsiung, and HongKong and has estimated the possible revenues for each(minus construction costs which are higher in some citieslike Hong Kong). At each site the projected revenues are primarily based on these factors, (1) the economic condi-tions at the port including the projected traffic, infrastruc-ture, labor rates and availability; and expansion and modernization; and (2) the future government situationwhich includes the political stability, fees, tariffs, duties,and trade regulations. Following is a payoff table thatshows the projected revenues (in $ billions) for six years given the four possible combinations for positive and nega-tive port and…A Leading manufacturer of Action Figures is about to introduce four new Action Figures. The accompanying table summarizes price and cost data, combined fixed costs equal $650,000. A marketing research study predicts that for each unit sold of Noyan, 2 units of Dogan, 3 units of Bamsi and 4 units of Turgut will be sold. Action Figures Turgut Bamsi Dogan Noyan Selling Price (in dollars) 35 26 24 16 Variable Cost/unit (in dollars) 17 12 12 11 Table 1 How many product mix units must be sold to break even? How does it translate into sales of individual games?A company is planning to manufacture wheelchairs that are light, fast, and beautiful. The fixed monthly cost will be $500,000 and it will cost $400 to produce each radically innovative chair. C (10,000) = 50(10,000) + 600,00010,000 = 110 The average cost per headset of producing 10,000 headsets per month is $110. C (100,000) = 50(100,000) + 600,000 100,000 = 56. The average cost per headset of producing 100,000 headsets per month is $56. Notice that with higher production levels, the cost of producing each headset decreases.Solve; a. Write the cost function, C, of producing x wheelchairs. b. Write the average cost function, C*, of producing x wheelchairs. c. Find and interpret C*(1000), C*(10,000), and C*(100,000). d. What is the horizontal asymptote for the graph of the average cost function, C*? Describe what this represents for the company.
- Given that sales volumes are forecast to stay steady at 2,000,000 units, the best option is _________________. 1. Manual Production Line 2. Semi-automatic Production Line 3. Fully Automatic Production LineA bus system needs to be set up from Village of Westmont to Hinsdale (2.5 miles), then continues to Berwyn (8.5 miles), and finally terminates its run to Cicero (1 mile). The operating time is 55 minutes, the policy headway is 30 minutes, and the minimum terminal time is 19 minutes (including 6 minutes terminal time at each location of Clarendon Hills and Berwyn, and 7 minutes at Cicero). It has been established that the peak-hour demand is 500 passengers per hour and 50-seater buses are available, which can safely accommodate 25 standees. Assume the load factor is 0.8. Design the bus systemYour company presently uses a crew of its own employees for all major maintenance. On average, 40 major repairs are performed each year at 24 lost production hours per repair. Keeping the crew costs $1,000,000 per year plus any lost production cost. Lost production costs are estimated at $2,500 per hour. Your company is considering replacing its in-housemaintenance work with an outside company (Ajax) working under an annual maintenance contract. This proposal will pay Ajax $2,000,000 per year but your company will still have to pay for all lost production time.Ajax claims that the time per repair will decrease because of the contractors’ substantial maintenance experience. Assuming the number of major repairs and the cost of lost production time remain the same, how much time per repair is the maximum allowable for Ajax to be the preferred alternative?
- The water-supply manager for a Midwest city needs to supply the city with at least 10 million gal of potable (drinkable) water per day. The supply may be drawn from the local reservoir or from a pipeline to an adjacent town. The local reservoir has a maximum daily yield of 6 million gallons of potable water, and the pipeline has a maximum daily yield of 10 million gallons. By contract, the pipeline is required to supply a minimum of 6 million gallons/day. If the cost for 1 million gallons of reservoir water is $300 and that for pipeline water is $600, how much water should the manager get from each source to minimize daily water costs, C, for the city?The Bawl Corporation supplies alloy ball bearings to automanufacturers in Detroit. Because of its specialized manu-facturing process, considerable work-in-process and rawmaterials are needed. The current inventory levels are$2,470,000 and $1,566,000, respectively. In addition, fin-ished goods inventory is $1,200,000 and sales (at cost) forthe current year are expected to be about $48 million. Ex-press total inventory asa. Weeks of supplyb. Inventory turnsGiven that sales volumes are forecast to stay steady at 2,000,000 units, the best option is _________________. Group of answer choices 1. Manual Production Line 2. Semi-automatic Production Line 3. Fully Automatic Production Line
- The Megabuck Hospital Corp. is to build a state-subsidized nursing home catering to homeless patients as well as high-income patients. State regulations require that every subsidized nursing home must house a minimum of 760 homeless patients and no more than 800 high-income patients in order to qualify for state subsidies. The overall capacity of the hospital is to be 2,100 patients. The board of directors, under pressure from a neighborhood group, insists that the number of homeless patients should not exceed twice the number of high-income patients. Due to the state subsidy, the hospital will make an average profit of $9,800 per month for every homeless patient it houses, whereas the profit per high-income patient is estimated at $7,800 per month. How many of each type of patient should it house in order to maximize profit? (If an answer does not exist, enter DNE.) high-income patients homeless patients profitThe Megabuck Hospital Corp. is to build a state-subsidized nursing home catering to homeless patients as well as high-income patients. State regulations require that every subsidized nursing home must house a minimum of 750 homeless patients and no more than 900 high-income patients in order to qualify for state subsidies. The overall capacity of the hospital is to be 1,800 patients. The board of directors, under pressure from a neighborhood group, insists that the number of homeless patients should not exceed twice the number of high-income patients. Due to the state subsidy, the hospital will make an average profit of $9,500 per month for every homeless patient it houses, whereas the profit per high-income patient is estimated at $8,000 per month. How many of each type of patient should it house in order to maximize profit? HINT [See Example 3.] (If an answer does not exist, enter DNE.) high-income patients: homeless: profit:The Megabuck Hospital Corp. is to build a state-subsidized nursing home catering to homeless patients as well as high-income patients. State regulations require that every subsidized nursing home must house a minimum of 700 homeless patients and no more than 620 high-income patients in order to qualify for state subsidies. The overall capacity of the hospital is to be 1,800 patients. The board of directors, under pressure from a neighborhood group, insists that the number of homeless patients should not exceed twice the number of high-income patients. Due to the state subsidy, the hospital will make an average profit of $13,000 per month for every homeless patient it houses, whereas the profit per high-income patient is estimated at $9,000 per month. How many of each type of patient should it house in order to maximize profit? Group of answer choices A)700 homeless patients and 1,100 high-income patients B)1,200 homeless patients and 600 high-income patientsC)700 homeless patients…