6. Optimal Production For the three standard products (A, B and C) a machine is necessary. Its capacity is limited to 1.500 machine hours. The following table shows the max production per product and its machine time in use. Capacity (min) max. amount of production (piece) A 15 B 5 3.500 3.000 8 5.000 Furthermore, product A and B show a contribution margin of € 5,- per piece, while product C shows a CM of only € 2,-. Required: What is the optimal program of production (follow the in-class exercise for wedding cakes (relative CM)).
Q: Expropriation Risk. How is expropriation risk factored into the capital budgeting analysis of a…
A: The risk of expropriation includes all discriminatory activities undertaken by just a host…
Q: What is meant by "Fordism"? explain briefly and give an example.
A: The term "Fordism" refers to a way of economic development and progress where mass production of…
Q: Which component of compensation is most essential to motivate executives to lead companies toward…
A: When assessing an investment opportunity, the CEO's salary is a crucial factor to take into account…
Q: The MRP gross requirements for Item A are shown here for the next 10 weeks. Lead time for A is three…
A: Find the Calculation methods below: Week 1 2 3 4 5 6 7 8 9 10 Gross Requirements 30 50 6…
Q: The profit from each product is that sambal x costs IDR 1,500/pack, sambal y IDR. 2,500/pack, and…
A: Linear programming is a mathematical technique that is also used in operations management…
Q: Use the following payoff table to complete parts (a) through (j). The probability of event 1 is…
A: Decision-making is influenced by an organization as per the degree of certainty involved in this. In…
Q: PLEASE SHOW HOW TO DO THIS WITH EXCEL. Construct and solve a linear optimization model that defies…
A: Linear programming is a mathematical technique that is also used in operations management…
Q: The Great North Supermarket stocks Munchkin Cookies. Demand for Munchkins is 5000 boxes per year…
A: Optimal order size helps the business to minimize the costs, stockout and overstock cost
Q: What are two advantages to using a Gantt chart instead of a simple flowchart? Check All That Apply…
A: Gantt chart is a visual representation of project duration and activities. Gantt chart is a bara…
Q: Read the summary below and answer the questions that follow: The Orange Girl – all the juice and…
A: Procurement generally is the purchase of goods, supplies, services, etc. Companies need to purchase…
Q: 2.28 A foundry produces castings to order. An order for 20 special castings has been re- ceived.…
A: x = the number of good units producedp(x) =probability of producing x good unitsQ = quantity of…
Q: Discuss the motives for businesses to expand internationally.
A: Many firms believe that establishing their own corporation in a foreign nation is the only method to…
Q: A project has a budget of $300,000 and is expected to last 10 months, with the work results and…
A: Cost variance: The process of analysing your project's financial performance is called cost…
Q: Chicago's Hard Rock Hotel distributes a mean of 1,100 bath towels per day to guests at the pool and…
A: Mean demand = d = 1100 towels per day Standard deviation of demand = σ = 95 towels per day Lead time…
Q: A small manufacturing facility is being planned that will feed parts to three heavy manufacturing…
A: Businesses can locate facilities utilized for manufacturing and other production-related activities…
Q: Sarah and Jennifer have just graduated from college at the University of Washington in Seattle and…
A: A minimum distance problem tends to seek minimum distance via one of the many available routes.
Q: What is Dynamic Programming (DP)? Provide two main components of DP.
A: Dynamic Programming is an approach to solving a problem by dividing the main problem into sub-parts…
Q: Business plan for Goat production on a small scale farm
A: Goat farming field-tested strategy that you should be awareLand Selection: A sufficient amount of…
Q: In Excel Answer each of the following problem (II) using regression analysis (easiest way is using…
A: Regression equation can be computed using manual least square method and also by using excel. Here,…
Q: The MRP gross requirements for Item X are shown here for the next 10 weeks. Lead time for A is two…
A: Find the Given details below: Week 1 2 3 4 5 6 7 8 9 10 Gross Requirements 20 10 15 45 10…
Q: K65. The Talbot Company uses electrical assemblies to produce an array of small appliances. One of…
A: Given data: Annual demand (D) = 8000 units Ordering cost (Co) = $50 Holding cost (Ch) = $10 per…
Q: Muffins are delivered daily to a cafeteria. Demand averages 40 muffins per day and has a standard…
A: Given data: Average Demand = 40 Muffins Standard Deviationσ = 5 Muffins/day Purchase price = 20…
Q: 18. I-mart is a discount optical shop that can fill most prescription orders in around one hour. The…
A: Find the Calculation methods below: Maximum Output = Total working hoursActual required time Need to…
Q: Discuss FIVE (5) key factors which Walmart had to take into consideration when assessing the…
A: Supplier is the individual or organization who provides the products and services to the customers…
Q: explain the significance of the break-even chart and profit volume graph.
A: Breakeven Chart: Marginal costs are graphically represented by a break-even chart. One of the most…
Q: a. Use linear regression model to develop a relationship to forecast the yearly maintenance cost…
A: Linear regression is a statistical method that uses the straight line equation to analyze data and…
Q: Calculate the average inventory given the following information: Revenues $685,000 ending inventory…
A: Inventory is the raw materials and finished products that company used for manufacturing and…
Q: Given the projected demands for the next six months, prepare an aggregate plan that uses inventory,…
A: Find the Calculation methods below: Output Forecast = (Regular Output - Forecast) + Overtime +…
Q: Note: This question requires Solver. Formulate the problem in Solver and find the optimal solution.…
A: Linear programming is a mathematical technique that is also used in operations management…
Q: The Ace Manufacturing Company has orders for three similar products. Product A B C 1 2 Machine 3 A A…
A: (a)
Q: sures for a chemist and for a building products manufacturer. Provide explanations and give three…
A: The number of goods your staff can make in a given amount of time, such as an hour, day, or week, is…
Q: Q2.2. What reorder point should be?
A: Inventory management is the process of ordering, storing, using, and selling the inventory of the…
Q: One unit of A is made of two units of B and one unit of C. B is made of three units of D and one…
A: Find the Calculation methods below: Project on hand = Project on hand - Gross requirementsNet…
Q: Discuss solutions to high production Cost
A: A company that produces goods or merchandise is considered a manufacturer. Putting together various…
Q: Employee Wanda Trews was working in the manufacturing facility at Coves Industrial. The employees of…
A: The detailed solution is given in Step 2
Q: A suburban specialty restaurant has developed a single drive-thru window. Customers order, pay, and…
A: Arrival rate (λ) = 6 Service rate(μ) = 2 every 15 minutes μ = 60*215 = 8
Q: what is linear programming, explain all the important aspects of linear programming.
A: Today, optimization is a need. This entire universe is based on the idea of optimization. It is used…
Q: anges to the Change Authorit on Management Approach
A: The project manager is the person in charge of managing the project. Therefore, a project's driving…
Q: Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The…
A: Operating days = 300 Annual demand(D) = 12300 Daily demand(d) = 12300300 = 41 Setting up cost (S) =…
Q: Radovilsky Manufacturing Company in Hayward, California, makes flashing lights for toys. The company…
A: Number of production days = 300 days per year Annual Demand = D = 12300 flashing lights Daily…
Q: (a) Write an equation for the anticipated cost minimization. (b) Draw a network model indicating the…
A: The transportation model is used to calculate the minimum cost of the route by selecting different…
Q: Design a transportation plan with minimum costs in piecekilometers (pkm) and calculate the…
A:
Q: Question 1 Regarding Business Combinations: Critically analyse the key characteristics of an…
A: Merger and Acquisition are two words that are often used together leaving a difficult guess in mind…
Q: Discuss Five key factors which Walmart had to take into consideration when assessing the suitability…
A: Supplier is the part of the supply chain management who is responsible for making the products or…
Q: Demand = 1570 per quarter, T (Inventory period) <= 5.4 months, Lead Time weeks, safety stock = 15.…
A: The following information is provided to us: Demand per quarter is 1570, The inventory Period is 5.4…
Q: What is earned value management (EVM)? How is EVM used in project management?
A: Project management mainly refers to the set of particular expertise, skills, resources, &…
Q: EXAMPLE 6.10 A duplicating machine maintained for office use is operated by office assistant. The…
A: Service time = 6 minutes Service rate (mu) = 606=10 per hour Arrival rate (lambda) = 5 per hour…
Q: Use the following payoff table to complete parts (a) through (j). The probability of event 1 is…
A: Given data is
Q: n managemen
A: Operations departments place a high priority on quality management. Even though all workers and…
Q: Identify the objectives of Nike
A: Nike Inc. fights against competition while pursuing global market supremacy. Competitive rivalry…
Step by step
Solved in 3 steps with 3 images
- Theory of constraints: Hera Inc. produces two products, A and B. On a per unit basis, selling price for A is ₱20 with direct material of ₱5, direct labor of ₱8, variable overhead costs of ₱3 and variable selling costs of ₱1. On the other hand, B's selling price is ₱30, direct material costs of ₱5, direct labor of 10, variable overhead costs of ₱5, and variable selling costs of ₱2. Additionally, machine hours per unit are 2hrs and 4hrs, respectively. Normally, Hera has a capacity to produce 2,000,000 units in any combination of the two products. However, due to some contingencies, Hera will be limited to 1,000,000 machine hours. Which of the two products should be given priority to maximize contribution margin? How much is the maximum contribution margin the company can generate?Given the following data for Albert’s fabricating production area:Fixed costs for one shift = $60,000Unit variable cost = $7Selling price = $12Number of machines = 6Number of working days in year = 340Processing time per unit = 40 minutes a. What is the annual capacity with a single 8-hour shift? b. What is the capacity with two shifts? c. What is the break-even volume with a single-shift operation?Green Grass’s plant manager just received marketing’s latest forecasts of Big Broadcaster sales for the nextyear. She wants its production line to be designed to make 2,400 spreaders per week for at least the nextthree months. The plant will operate 40 hours per week.a. What should be the line’s cycle time?b. What is the smallest number of workstations that she could hope for in designing the line for thiscycle time?c. Suppose that she finds a solution that requires only five stations. What would be the line’s efficiency?
- Star Symphony would like to perform for a neighbouring city. Fixed costs for the performance total $5,000. Tickets will sell for $15 per person, and an outside organization responsible for processing ticket orders charges the symphony a fee of $2 per ticket. Star Symphony expects to sell 500 tickets.1. How many tickets must Star Symphony sell to break even?2. How many tickets must the symphony sell to earn a profit of $7,000?3. How much must Star Symphony have in sales dollars to break even?4. How much must Star Symphony have in sales dollars to earn a profit of $7,000?5. What is the symphony’s margin of safety in units and in sales dollars? Note question 4 and 5A manager has the option of purchasing one, two, or three machines. Fixed costs and potential volumes are as follows:Number ofMachinesTotal AnnualFixed CostsCorrespondingRange of Output1 $ 9,600 0 to 3002 15,000 301 to 6003 20,000 601 to 900Variable cost is $10 per unit, and revenue is $40 per unit.a. Determine the break-even point for each range.b. If projected annual demand is between 580 and 660 units, how many machines shouldthe manager purchase?Table 7.5 contains information about an environmental clean-up project in the township of Hiles. Shorten the project threeweeks by finding the minimum-cost schedule. Assume thatproject indirect costs and penalty costs are negligible. Identifyactivities to crash while minimizing the additional crash costs.
- 2. Bob is considering to rent a space to sell lunch box. His rent would be $5,000/month. Each lunch box would incur $4 material cost and $5 labor cost. If Bob wants to break-even by selling 500 lunch boxes per month, how much should he charge for each lunch box? Select one: a. $10 b. $1 c. $14 d. $19A telephone company have a production capacity of 500,000 units per month. At its present capacity of350,000 units per month, the company have monthly income of ₱350,000,000. The company has a fixed cost of ₱100,000,000 per month and a variable cost of ₱200 per unit.a. What is the present profit or loss in millions of pesos?b. What is the break-even quantity?c. If the production is increased to 80% of its capacity, what is the profit or loss in millions of pesos1. A washing machine manufacturer works on 8 hours shift in a year (assume 2021 calendar) excluding Saturday and Sunday. Demand estimates for the number of washing machine that could be sold next year are shown below: Demand (units) 2000 4000 5000 Processing Time (std time hrs) 3.0 5.0 6.0 (a) Assuming the firm produces on an expected value basis, what is the annual production capacity of one machine in standard hours? (b) What capacity is required to meet 170% percent of expected demand?
- Wolfgang Kersten Mfg. intends to increase capacitythrough the addition of new equipment. Two vendors havepresented proposals. The fixed costs for proposal X are $150,000,and for proposal Y, Sl70,000. The variable cost for X is $120.00,and for Y, $100.00. The revenue generated by each unit is $200.00.a) What is the break-even point in units for proposal X?b) What is the break-even point in units for proposal Y?The Build-Em-Fast Company has agreed to supply its best customer with three widgets during each of the next 3 weeks, even though producing them will require some overtime work. The relevant production data are as follows: Week Maximum Production, Regular Time Maximum Production, Overtime Production Cost per Unit, Regular Time 1 2 2 $300 2 3 2 $500 3 1 2 $400 The cost per unit produced with overtime for each week is $100 more than for regular time. The cost of storage is $50 per unit for each week it is stored. There is already an inventory of two widgets on hand currently, but the company does not want to retain any widgets in inventory after the 3 weeks. Management wants to know how many units should be produced in each week to minimize the total cost of meeting the delivery schedule. Formulate this problem as a transportation problem by constructing the appropriate parameter table.RSports is a major retailer of sportswear and equipment in Singapore. It has just signed a lease with a major shopping mall to be one of the anchor tenants and will occupy a floor area of 7,000 square meter (sqm). According to the regulatory requirement, 2% of the floor area must be set aside for emergency assembly purpose. The store layout has 8 major zones, and the company analyst has provided the information (based on other stores’ past data) in Figure 1.1 which shows the annual profit contribution for each zone per sqm.Based on the corporate guidelines, each sports zone requires at least 600sqm of floor space, and none of the sports zone should occupy more than 15% of usable floor space. The Cycling, Home gym, and Fitness sports zones keep some items in inventory (such as bicycles, treadmills, weights) and an equivalent space of 10 to 20% of the floor space allocated to these three sports zones must be set aside for stocking the spares. Administrative office and checkout counters…