Problem 4 A bakery needs to evaluate two oven solutions for its renovations. It is currently considering two possible ovens, a small one for $1,250 and a large one for $2,500. Its operating requirements are as follows Item Small Oven Large Oven 125 Batch size (units) Processing time (min/unit) Cleaning time (min) Heating time (min) 50 1 0.5 20 30 10 15 According to operating instructions, both the small and large ovens must be cleaned after each batch and properly heated before each batch can be processed. The bakery estimates the demand for the next few years to remain steady at 300,000 units per year. Currently, the company operates 8 hours a day (with no overtime allowed) and 300 days a year. a. Calculate the daily production capacity of each oven (small and large). b. How many of the small ovens are needed to meet the production demand? What is the total cost? c. How many of the large ovens are needed to meet the production demand? What is the total cost?

Problem 4 A bakery needs to evaluate two oven solutions for its renovations. It is currently considering two possible ovens, a small one for $1,250 and a large one for $2,500. Its operating requirements are as follows Item Small Oven Large Oven 125 Batch size (units) Processing time (min/unit) Cleaning time (min) Heating time (min) 50 1 0.5 20 30 10 15 According to operating instructions, both the small and large ovens must be cleaned after each batch and properly heated before each batch can be processed. The bakery estimates the demand for the next few years to remain steady at 300,000 units per year. Currently, the company operates 8 hours a day (with no overtime allowed) and 300 days a year. a. Calculate the daily production capacity of each oven (small and large). b. How many of the small ovens are needed to meet the production demand? What is the total cost? c. How many of the large ovens are needed to meet the production demand? What is the total cost?

Name: Problem 4A bakery needs to evaluate two oven solutions for its renova
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Description: Problem 4A bakery needs to evaluate two oven solutions for its renovations. It is currently considering twopossible ovens, a small one for $1,250 and a large one for $2,500. Its operating requirements areas followsItemSmall Oven Large Oven50Batch si

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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