please answer within 30 minutes. A worker works 8 hours per day and will be paidRM50 per day. They can work overtime withmaximum of 2 hours per day with RM10 per hour.1.8 hr is required to produce a unit of product.Inventory carrying cost is set as RM3 per unit permonth. Subcontracting cost per unit is RM15. Costof increasing daily production rate (hiring andtraining) is RM400 per unit. Cost of decreasing dailyproduction rate (layoffs) is RM200 per unit (Usingtransport method)MonthExpected DemandJuly1900August1000Sept1800Oct1200Nov1000Dec1100Production Days222221222018

A production plan in which hiring and firing is done to meet the exact periodic demand is called as…

Answered: A worker works 8 hours per day and will…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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A bicycle component manufacturer produces hubs for bike wheels. Two processes are possible for manufacturing. Assume that the daily demand for hubs allows all defect-free hubs to be sold. Additionally, tested or rejected hubs cannot be sold. Find the process that maximizes profit per day if each part is made from $4 worth of material and can be sold for $32. Both processes are fully automated, and variable overhead cost is charged at the rate of $39 per hour. Process 1 Process 2 Production rate 36 parts/hour 15 parts/hour Daily production time 4 hours/day 8 hours/day Percent of parts rejected based on visual inspection 22% 10% Question content area bottom Part 1 The profit per day for Process 1 is (Round to the nearest cent.)
LBC Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 3.0 hours of direct labor at the rate of $26.00 per direct labor-hour. Management would like you to prepare a Direct Labor Budget for June. The budgeted direct labor cost per unit of Product WZ would be: $78.00 $7.00 $26.00 $46.00
Manufacturers Inc. (MI) currently has a labor force of 10, which can produce 600 units per period. The labor cost is now $5000 per period per employee. The company has a long-standing rule that does not allow it to make use of any overtime. In addition, the product cannot be subcontracted, due to the specialized nature of the machinery that MI uses to produce it. As a result, MI can only increase/decrease production by hiring or laying off employees. The cost is $10000 to hire or lay off an employee. Inventory carrying costs are $200 per unit for any unsold items at the end of the period. The inventory level at the beginning of period 1 is 400 units. The forecast demand is 700 in period 1,600 in period 2,450 in period 3, 250 in period 4,500 in period 5, and 550 in period 6. a.) Compute the costs of the Chase Demand Strategy. b.) Compute the costs of the Level Strategy c.) Compare the costs of the two strategies. Which one is superior?
Manufacturers Inc. (MI) currently has a labor force of 10, which can produce 600 units per period. The labor cost is now $5000 per period per employee. The company has a long-standing rule that does not allow it to make use of any overtime. In addition, the product cannot be subcontracted, due to the specialized nature of the machinery that MI uses to produce it. As a result, MI can only increase/decrease production by hiring or laying off employees. The cost is $10000 to hire or lay off an employee. Inventory carrying costs are $200 per unit for any unsold items at the end of the period. The inventory level at the beginning of period 1 is 400 units. The forecast demand is 700 in period 1,600 in period 2,450 in period 3, 250 in period 4,500 in period 5, and 550 in period 6. a.) Compute the costs of the Chase Demand Strategy.
Mack’s guitar fabrication shop produces low-cost, highly durable guitars for beginners. Typically, out of the 100 guitars thatbegin production each month, only 80 percent are consideredgood enough to sell. The other 20 percent are scrapped due toquality problems that are identified after they have completedthe production process. Each guitar sells for $250. Becausesome of the production process is automated, each guitar onlyrequires 10 labor hours. Each employee works an average160 hours per month. Labor is paid at $10/hour, materials costis $40/guitar, and overhead is $4,000.a. Calculate the labor and multifactor productivity ratios.b. After some study, the operations manager Darren Funkrecommends three options to improve the company’smultifactor productivity: (1) increase the sales price by10 percent, (2) improve quality so that only 10 percentare defective, or (3) reduce labor, material, and overheadcosts by 10 percent. Which option has the greatest impacton the multifactor…
Suppose there are two inputs in the production function, labor and capital, and these two inputs are perfect substitutes. The existing technology permits one machine to do the work of three workers. The firm wants to produce 100 units of output. Suppose the price of capital is $750 per machine per week. What combination of inputs will the firm use if the weekly salary of each worker is $300? What combination of inputs will the firm use if the weekly salary of each worker is $225? What is the elasticity of labor demand as the wage falls from $300 to $225?
ABC company creates specialty shipping bags that they sell to pharmaceutical companies across the globe. With their current equipment, ABC can produce 12,000 shipping bags for every 10 bundles of materials purchased. Every month (20 working days), ABC purchases 100 bundles of materials. Each bundle requires one (1) labor minute to process, and every labor hour costs an average of $14.00. Each week (5 working days), ABC pays $5,000 in overhead costs, and equipment costs $600 a day to operate. (a). How many shipping bags does ABC produce in a standard month (20 working days)? Each workday (8 hours)? (b). What is the single-factor productivity for labor, per workday (8 hours)? What is the multi-factor productivity, for every dollar spent per shipping bag?. (d). ABC is deciding to make some changes. If the company buys different equipment, they expect that each bundle will only take 30 seconds to process, but equipment costs will go up to $800 a day to operate. All other factors would…
Please do not give solution in image format thanku A business incurs the following costs: •Labor: $145/unit•Materials: $75/unit•Rent: $450,000/month Assume the firm produces 2 million units per month. The total variable cost, per month, is ____ million. The total fixed cost, per month, is ____ million. The total cost is ____ million.
A. restaurant is opening in Laie and is going to cater to the rich and the famous. It is a 35 seat A B C D Cash Cost 3000 3200 2700 2000 Estimate life 6 6 6 6 Trade in 500 500 600 0 Installation 675 675 675 675 Initial training 325 350 225 275 Annual training 150 125 125 100 Annual labor 3500…
A small consulting firm has an overhead rate of 200% of direct labor charged to each job. The materials cost (including travel and other direct costs) for a particular job is $10,000, and the direct labor is$20,000. What is the total job cost for this job?
Each day a small business owner sells 200 pizza slices at $1.50 per slice and 85 sandwiches at $4.00 each. Business expenses come to $110 per day. What is the owner's profit for a ten-day period?
Willie Lohmann travels from city to city for business. Every other year he buys a used car for about $15,000. The dealer allows about $8000 as a trade-in allowance, so Willie spends $7000 every other year for a car. Willie keeps accurate records of his expenses, which total 32.3¢ per mile. Willie's employer has two plans to reimburse car expenses: (A)Actual expenses: Willie will receive all his oper-ating expenses, and $3500 each year for the car's decline in value. (B) Standard mileage rate: Willie will receive 56.5 ¢per mile but no operating expenses and no depre-ciation allowance. If Willie travels 18,000 miles per year, which method gives him the larger reimbursement? At what annual mileage do the two methods give the same reimbursement?

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