A manager has to decide how much to buy a certain type Each machine can handle 100 customer services per hour. The fixed cost of one machine per day is $2000; the fixed cost of two machines is 3800 US dollars per day. The variable cost is $20 per customer and the revenue is $45 per customer. 1) Calculate their breakeven points. 2)if the expected demand is 90-120 customers per hour, how many machines should be purchased?

A manager has to decide how much to buy a certain type Each machine can handle 100 customer services per hour. The fixed cost of one machine per day is $2000; the fixed cost of two machines is 3800 US dollars per day. The variable cost is $20 per customer and the revenue is $45 per customer. 1) Calculate their breakeven points. 2)if the expected demand is 90-120 customers per hour, how many machines should be purchased?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter4: Linear Programming Models

Section4.8: Data Envelopment Analysis (dea)

Problem 42P

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