The output from a process contains a 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replace. An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 20 units per hour, is paid $8 per hour, including fringe benefits. Should an inspection station be established to test all units?a. What is the cost to inspect each unit?b. What is the benefit (or loss) from the inspection process?

The output from a process contains a 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replace. An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 20 units per hour, is paid $8 per hour, including fringe benefits. Should an inspection station be established to test all units?a. What is the cost to inspect each unit?b. What is the benefit (or loss) from the inspection process?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter10: Introduction To Simulation Modeling

Section: Chapter Questions

Problem 41P: At the beginning of each week, a machine is in one of four conditions: 1 = excellent; 2 = good; 3 =...

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At the beginning of each week, a machine is in one of four conditions: 1 = excellent; 2 = good; 3 = average; 4 = bad. The weekly revenue earned by a machine in state 1, 2, 3, or 4 is 100, 90, 50, or 10, respectively. After observing the condition of the machine at the beginning of the week, the company has the option, for a cost of 200, of instantaneously replacing the machine with an excellent machine. The quality of the machine deteriorates over time, as shown in the file P10 41.xlsx. Four maintenance policies are under consideration: Policy 1: Never replace a machine. Policy 2: Immediately replace a bad machine. Policy 3: Immediately replace a bad or average machine. Policy 4: Immediately replace a bad, average, or good machine. Simulate each of these policies for 50 weeks (using at least 250 iterations each) to determine the policy that maximizes expected weekly profit. Assume that the machine at the beginning of week 1 is excellent.
Output from a process contains 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replace. An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 20 units per hour, is paid $8 per hour, including fringe benefits. Should an inspection station be established to test all units? Assume that the line will operate at the same rate (i.e., the current production rate) regardless of whether or not the inspection operation is added. a-1. Without the inspector, what is the current hourly cost of defects? a-2. Should an inspection station be established to test all units based on costs alone? multiple choice Yes No a-3. If the inspection operation is added, what would be the cost to inspect each unit? Note: Round your answer to 2 decimal places. b. What would be the benefit (or loss) from establishing the inspection process? Note: Round your answer…
Output from a process contains 0.01 proportion of defective units. Defective units that go undetected into final assemblies cost $26 each to replace. An inspection process, which would detect and remove all defectives, can be established to test these units. The inspector, who can test 21 units per hour (which matches the current production rate), would be paid $9 per hour, including fringe benefits. Assume that the line will operate at the same rate (i.e., the current production rate) regardless of whether or not the inspection operation is added. A. Without the inspector, what is the current hourly cost of defects? (Round your answer to 2 decimal places.) B. If the inspection operation is added, what would be the cost to inspect each unit? (Round your answer to 2 decimal places.) C. What would be the benefit (or loss) from establishing the inspection process per unit? (Input the amount as a positive value. Round your answer to 2 decimal places.)
As part of an insurance company’s training program, participants learn how to conduct an analysis of clients’ insurability. The goal is to have participants achieve a time in the range of 30 to 45 minutes. Test results for three participants were the following: Armand, a mean of 36.0 minutes and a standard deviation of 3.0 minutes; Jerry, a mean of 34.0 minutes and a standard deviation of 2.0 minutes; and Melissa, a mean of 37.5 minutes and a standard deviation of 1.7 minutes. a.Compute process capability for the participants and determine whether each is capable. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Melissa ? Cp what is it
69) please help with this Output from a process contains 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replace. An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 22 units per hour, is paid $10 per hour, including fringe benefits. Should an inspection station be established to test all units? Assume that the line will operate at the same rate (i.e., the current production rate) regardless of whether or not the inspection operation is added. b. What would be the benefit (or loss) from establishing the inspection process? Note: Input the amount as a positive value. Round your answer to 2 decimal places.
As part of an insurance company’s training program, participants learn how to conduct an analysis of clients’ insurability. The goal is to have participants achieve a time in the range of 30 to 45 minutes. Test results for three participants were the following: Armand, a mean of 36.0 minutes and a standard deviation of 2.0 minutes; Jerry, a mean of 37.0 minutes and a standard deviation of 2.0 minutes; and Melissa, a mean of 37.5 minutes and a standard deviation of 2.6 minutes. a.Compute process capability for the participants and determine whether each is capable, given 4-sigma quality standards. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Suppose that each engine can be inspected before theflight. After inspection, each engine is labeled as being ineither good or bad condition. You are given thatP(inspection says engine is in good condition | engine willfail) .001P(inspection says engine is in bad condition | engine willfail) .999P(inspection says engine is in good condition | engine willnot fail) .995 P(inspection says engine is in bad condition | engine willnot fail) .005 a If the inspection indicates the engine is in bad con-dition, what is the probability that the engine will fail on the flight?b If an inspector randomly inspects an engine (that is,with probability .001 she chooses an engine that is aboutto fail, and with probability .999 she chooses an enginethat is not about to fail), what is the probability that shewill make an error in her evaluation of the engine?
69 Output from a process contains 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replac An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 22 units per hour, is paid $10 per hour, including fringe benefits. Should an inspection station be established to test all units? ume that the line will operate at the same rate (i.e., the current production rate) regardless of whether or not the inspection ration is added. a-1. Without the inspector, what is the current hourly cost of defects? Note: Round your answer to 2 decimal places. a-2. Should an inspection station be established to test all units based on costs alone? a-3. If the inspection operation is added, what would be the cost to inspect each unit? Note: Round your answer to 2 decimal places.
Mr. Ferdinand is a well-known entrepreneur who sells fresh organic beef to persons in the localcommunity. Customers love the quality of meet that Mr. Ferdinand sells so they tend torecommend his product to other people. Recently, Mr. Ferdinand has been running out of beefto sell to his customers. One customer suggests to him that he must use past sales records toforecast demand for his beef so that he can meet his customers' demand.I. Using a numerical example, demonstrate to Mr. Ferdinand how he can use a three-week and a four-week weighted moving average to forecast demand for his beef.II. Show how Mr. Ferdinand can test the accuracy of his forecast. III. Explain to Mr. Ferdinand two ways in which he can benefit from doing a forecast for his beef.
Directions: For each of the following situations: a. indentify the independent variable/s b. name the dependent variable; and c. give the two attributes of each variable A study on customer's satisfaction based on the quality of food offered in fast foods.
Each day, a FedEx competitor processes approximately 50,000 shipments. Suppose that they use the same Service Quality Index as FedEx and identified the following numbers of errors during a 5-day week (see the "FedEx: Measuring Service Performance" box). These values are hypothetical and do not reflect any real company’s actual performance. Description Weight Number of Errors Complaints reopened 3 145 Damaged packages 10 17 International 1 109 Invoice adjustments 1 284 Late pickup stops 3 207 Lost packages 10 4 Missed proof of delivery 1 28 Right date late 1 752 Traces 3 115 Wrong day late 5 11 Compute the Service Quality Indicator by finding the weighted sum of errors as a percentage of total shipments. Do not round intermediate calculations. Round your answer to three decimal places. Service Quality Indicator (SQI): %
match each variable types with its description: variables: Process input variable, Process output variable, Critical to quality, Key process output variable, Key process intput variable, description (a) a product or process requirement that is no matter to the customer (b) a product or process knob or control that affects characteristics of importance to the customer (c) a product or process knob or control that has no impact on the process (d) a product or process requirement that must be present to make the customer happy but that the customer does not know to explicitly specify (e) a product or process requirement specifically requested by the customer