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
Q: The owner of a large machine ship has just finished its financial analysis from the prior fiscal…
A: Net Revenue(N) = $500,000 Cost of goods sold(COGS) = $328,250 Value of product material on hand(M)=…
Q: A chemical firm produces sodium bisulfatein 100-pound bags. Demand for this product is 20 tons per…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Thompson manufacturing produces industrial scales for the electronics industry. Management is…
A: Answer: Break even quantity denotes the volume at which total costs equal total revenue. Variable…
Q: profit (or loss) if 480,000 units are sold?
A: AT 4,80,000 UNITS IT WILL BE A PROFIT
Q: The Ngo Farms produces its own natural organic fertilizer, which it sells mostly to the gardeners…
A: Total inventory cost is constituted by sum of total annual holding cost and total annual setup cost.…
Q: The objective of operation planning is to O a. develop an economic strategy for meeting customer…
A: The determination of the Operational Plan is to deliver organization staffs with a clear depiction…
Q: A Pizza Company has a demand forecast for the next 12 months that is shown in Table 1 The current…
A: Find the Given details below: Month January February March April May June July August September…
Q: 214 consider Problem 2.15 wVhere, in this case, each process is capable of rework. Given the…
A: Given, Process 1 3% 60% 2 5% 75% 3 7% 80%
Q: A company that manufactures paving material for driveways and parking lots expects the following…
A: The machine cost and the labor cost will be finding out by the following formula The capacity…
Q: Structure Furniture, manufactures coffee tables. Structure Furniture has a policy of adding a 20%…
A: Output units 30000 tables Machine hours 8000 hours Direct manufacturing labors-hours 10000 hours…
Q: 1. A 32,000-seat baseball stadium is used 17 times for games, concerts, and graduation ceremonies.…
A: a)Determine stadium utilization:
Q: Starbucks has a large, global supply chain that must efficiently supply over 17,000 stores. Although…
A: Find the Given details below: Given details: WEEK −5 −4 −3 −2 −1 1 2 3 4 5 6 7 8 9 10 11 12 13…
Q: Show that if available carpentry hours remain between60 and 100, the current basis remains optimal.…
A: Given data, Carpentry hours = 60 and 100 The current basis remain optimal Carpentry hours = 60…
Q: The information we need when discussing the capacity of our facility is Select one: a. All the Given…
A: Production is the process of manufacturing products and services for selling purposes in the market.…
Q: The weekly output of a production process is 446 units, material input is 2633 (in ft). Currently 9…
A: Given data Output = 446 unit at $157 per unit Material input = 2633 at $14 per running foot…
Q: The King Corporation has ending inventory of $386,735, and cost of goods sold for the year just…
A: Closing Inventory of King Corporation => $386,735 Cost of goods sold for the year =>…
Q: 1. Compute ( a ) the CM ratio and the break-even point in skateboards, and ( b ) the degree of oper-…
A: WE ARE ALLOWED TO DO THE FIRST THREE SUB-PARTS ONLY. PLEASE POST THE REST PARTS AGAIN TO GET…
Q: RevPAR This month Last 3 months Last 12 months
A: Here, we need to learn about various important formula, First, we would calculate the Index value,…
Q: A producer of felt-tip pens has received a forecast of demand of 30,000 pens for the comingmonth…
A: Demand (D) = 30,000 pens per month Fixed costs (FC) = $25,000 per month Variable costs (VC) = $0.37…
Q: John is the head chef of Hong Kong Style Tea Café in Central. The business of John’s restaurant is…
A: In order to have a safe inventory John should stock around 1550 eggs from Monday to…
Q: 2 Jenco manufactures two products (Whoosh and Swish) in two departments (Molding and runit for…
A: Given data is Available hours for molding = 1000 Available hours for packaging = 1500 Throughput…
Q: The owner of a large machine shop has just finished its financial analysis from the prior fiscal…
A: Given Report - Net revenue 343,000 Cost of goods sold 302,000 Value of production…
Q: . Eastman Publishing Company is considering publishing a paperback textbook on spreadsheet…
A: Fixed cost of publishing is $160,000 variable cost is $6 per book selling cost is $46 per text.
Q: A shipment of 40 pounds of fresh salmon is purchased for $4.50 per pound. The yield of the fish is…
A: Shipment Weight = 40 pounds Cost of the fresh Salmon = $4.50 per pound Yield = 27.2 pounds
Q: Give an example of a good and a service that exhibit these seasonal demand patterns:a. Annualb.…
A: Annual seasonal Demand: Christmas tree Winter clothes Garden equipment Snow tires Celebration cards…
Q: Maple Leaf Founda ry, owned by Ahmet Satir, producescast-iron ingots according to a 3-month capacity…
A: A Small Introduction about Aggregate Planning Total arranging is a strategy for fostering a…
Q: Acme Steel Fabricators experienced booming business forthe past five years. The company fabricates a…
A: Decision Tree A decision tree is a support system with a tree-like framework that models likely…
Q: The S&OP team at Kansas Furniture, has received estimates of demand requirements as shown in the…
A: Given, Stock out Cost- $125 Carry cost- $20 Production- 1200 units
Q: Jack’s Packs manufactures backpacks made from microfabrics.The cutting department prepares the…
A: Formula:
Q: Eastman Publishing Company is considering publishing an electronic textbook about spreadsheet…
A: From the given data: Fixed cost $150000 Variable cost 7 Price 49 Demand 3400 (a)…
Q: Draw the Economic order quantity formula? How this formula helps to operation managers
A: Economic order quantity (EOQ) is the order quantity a company should purchase to minimize various…
Q: If customer demand is 200,000 units per month, and available manufacturing capacity is 6,000…
A: Takt Time = Available manufacturing time / Customer demand
Q: a) GOT7 Soda Pop, Inc., has a new fruits drink. The production planner has assembled the following…
A: General notes : This is a case of aggregate plan with multiple possible answers based on the…
Q: OHickory Manufacturing Company forecasts the following demand for a product (in thousands of units)…
A: Given data is Number of machines(M) = 9 Number of shifts(S) = 2 Total shift hours = 16 Available…
Q: systems-based approach to capacity planning advantage
A: System based approach is a standardized set of management steps which are sequential in nature. This…
Q: A production plant has the capacity to produce 2,000 tons per year. At full capacity, there are…
A: Ans 1: Variable cost = $2,000,000 Fixed cost = $700,000 Hence, the total cost will be
Q: Hotel California has 160 rooms. The hotel has an ample low-fare demand at the room rate of $200 per…
A: Booking limit is number of rooms that are available for the booking to the low-fare customers.…
Q: What is the hospital’s profit per discharge? What is the hospital’s total inpatient and total…
A: First, I will calculate the Hospital’s profit per discharge, this calculation is shown below: Net…
Q: Evergreen Fertilizer Company produces fertilizer. The company's fixed monthly cost is $25,000, and…
A: Given Data Fixed cost = $25,000 Selling price = $0.40 Variable cost = $0.15 Now, the break-even…
Q: Draw a detailed break-even chart. b) Compute the break-even point (i) in units; (ii) in dollars;…
A:
Q: Starbucks has a large, global supply chain that must efficiently supply over 17,000 stores. Although…
A: This question is part of forecasting approaches and Analysis, here, It falls under the Business-…
Q: The integral objective of capacity planning is to achieve a match between the long-term supply…
A: Capacity planning is defined as the process of matching an organization's capabilities to the…
Q: 1. A washing machine manufacturer works on 8 hours shift in a year (assume 2021 calendar) excluding…
A: Given data: Demand(units) 2000 4000 5000 Processing Time (std time hrs) 3.0 5.0 6.0 A…
Q: iven the following data for Albert’s fabricating production area: Fixed costs for one shift =…
A: Fixed costs for one shift = $60,000Unit variable cost = $7Selling price = $12Number of machines =…
Q: Dough, Re, Mi Inc. sells many different types of cookie dough. The company is deciding whether to…
A: The question is related to make or buy the product from ouside. In make or buy decision decision is…
Q: Ex 5 Fitzsimmons & Fitzsimmons (2008) compare 2 capacity management strategies. Part of their…
A: A level capacity plan is a production strategy where the production will remain constant even if…
Q: Yu Amy Xia bas developed a specialized airtightvacuum bag to extend the freshness of seafood shipped…
A: Note: “Since you have posted a question with multiple sub-parts, we will solve the first three…
Q: If the projected or forecasted sales of Malinao Bakery for the month of January is 2100 loaves of…
A: Projected sale will be the sum of forecasting sales multiplied by the unit sale values. Using the…
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?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?You have been asked to estimate the cost of 100 prefabricated structures to be sold to a local school district. Each structure provides 1,000 square feet offloor space, with 8-feet ceilings. In 1999, you produced 70 similar structures consistingof the same materials and having the same ceiling height, but each provided only 800square feet of floor space. The material cost for each structure was $25,000 in 1999, andthe cost capacity factor is 0.65. The cost index values for 1999 and 2006 are 200 and 289,respectively. The estimated manufacturing cost for the first 1,000-square-foot structureis $12,000. Assume a learning curve of 88% and use the cost of the 50th structure asyour standard time for estimating manufacturing cost. Estimate the total material costand the total manufacturing cost for the 100 prefabricated structures.
- 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 Assuming the firm produces on an expected value basis, what is the annual production capacity of one machine in standard hours?The Chewy Candy Company would like to determine an aggregate production plan for the next six months. The company makes many different types of candy but feels it can plan its total production in pounds provided that the mix of candy sold does not change too drastically. At the present time, the Chewy Company has 70 workers and 9000 pounds of candy in inventory. Each worker can produce 100 pounds of candy a month and is paid $19 an hour (use 160 hours of regular time per month). Overtime, at a pay rate of 150 percent of regular time, can be used up to a maximum of 20 percent in addition to regular time in any month. It costs 80 cents to store a pound of candy for a year, $1,200 to hire a worker, and $1,500 to lay off a worker. The forecast sales for the next six months are 8000, 10,000, 12,000, 8000, 6000, and 5000 pounds of candy. a.Determine the costs of a level production strategy for the next six months, with an ending inventory of 8000 pounds. b.Determine the costs of a chase…The Chewy Candy Company would like to determine an aggregate production plan for the next six months. The company makes many different types of candy but feels it can plan its total production in pounds provided that the mix of candy sold does not change too drastically. At the present time, the Chewy Company has 70 workers and 9000 pounds of candy in inventory. Each worker can produce 100 pounds of candy a month and is paid $19 an hour (use 160 hours of regular time per month). Overtime, at a pay rate of 150 percent of regular time, can be used up to a maximum of 20 percent in addition to regular time in any month. It costs 80 cents to store a pound of candy for a year, $1,200 to hire a worker, and $1,500 to lay off a worker. The forecast sales for the next six months are 8000, 10,000, 12,000, 8000, 6000, and 5000 pounds of candy.a. Determine the costs of a level production strategy for the next six months, with an ending inventory of 8000 pounds.b. Determine the costs of a chase…
- At Taste of Thyme coffee shop a dirty chai latte creates a profit point of $2.85 for a small and $3.80 for a large. In a month, 200 small lattes were sold and 285 large lattes. As a fast growing demand item with fall approaching, the demand is estimated at 400 and 420 per month. The amount of machine time needed to produce the lattes is 5 minutes and 7 minutes each or for a month, 16.67 hours a month for a small and 33.25 hours a month for a large. What is the maximization function for profit? A. Profit = 400x1 + 420x2 B. Profit = 2.85x1 + 3.80x2 C. Profit = 16.67x1 + 33.25x2 D. Profit = 2.50x1 + 3.50x2A production plant has the capacity to produce 2,000 tons per year. At full capacity, there are total variable costs of $2,000,000 and fixed costs of $700,000. Solve, a. What is the annual profit for the plant when working at full capacity (2,000 tons) and the product sells for $0.80 per pound? b. What is the fixed cost per pound at the breakeven point? c. What is the total cost per pound at full capacity?Hudson Corporation is considering three options for managing its data processing operation: continuing with its own staff, hiring an outside vendor to do the managing, or using a combination of its staff and an outside vendor. The profit of the corporation depends on future demand. The annual profit of each option (in thousands of dollars) depends on demand as follows: Demand Staffing Options High Median Low Own staff 650 650 600 Outside vendor 900 600 300 Combination 800 650 500 Recommend a decision based on the use of the optimistic, conservative, and minimax regret approaches. If the demand probabilities are 0.2, 0.5, and 0.3, respectively for High, Median, and Low demands, use the expected value approach to determine the optimal decision(show steps).
- 1. Foxie Owl’s Besty Bagel shop makes fresh bagels. She has to buy raw materials fresh every day for selling on that day. She wants to know exactly how much should she spend on raw materials. Foxie did some analysis over the past month and came back with the following numbers: Daily demand was equally likely to be 200, 225, 250, 275, or 300 bagels. What should be the number of bagels on hand to satisfy a Fill Rate requirement of 96%, rounded to next integer value? Group of answer choices 300 275 286 263 2. Suppose that instead of a discrete demand distribution, Foxie’s shop determines that the daily demand for bagels is normally distributed, with a mean of 250 and a standard deviation of 35. Foxie still wants a Fill Rate of 98%. What is the appropriate level of on-hand inventory for Foxie’s shop? Group of answer choices 263 274 257 270Use the following information for the next 3 problems: ABC Company plans to construct a 60,000 sq. ft private warehouse and rent public warehouse as needed. Warehouse inventory turns at the rate of 2 times per month. One pound of merchandise occupies 0.2 cubic feet of warehouse space and can be stacked 10 feet high. Given aisles, and normal operating efficiency, only 50 percent of the total warehouse space is actually used for storage. Assume the facility is being built to size so no additional space is allowed for future product growth. A private warehouse can be constructed for $36 per sq. ft. and can be amortized over 20 years. Annual fixed costs amount to $20 per sq. ft. of total space. The cost of operation is $0.03 per pound of throughput. Space may also be rented for a storage charge on inventory of $0.06 per pound per month and a handling charge of $0.05 per pound of throughput. Monthly demands for a typical year are as follows: Month Demand (lb) Jan 2,000,000…A company that manufactures paving material for driveways and parking lots expects the following demand for its product for the next four weeks.Week number 1 2 3 4Material (tons) 40 80 60 70The company’s labor and machine standards and available capacities are as follows.Labor MachineProduction standard (hours per ton) 4 3Weekly production capacity (hours) 300 200 a. Determine the capacity utilization for labor and machine for each of the four weeks.b. In which weeks do you foresee a problem? What options would you suggest to resolve anyproblems? What costs are relevant in making a decision on choosing an option?