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- California Gardens, Inc., prewashes, shreds, and dis-tributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replacethe old machine, referred to in the shop as “Clunker.” Hi-Speedwill have a fixed cost of $85,000 per month and a variable costof $1.25 per bag. Clunker has a fixed cost of only $44,000 permonth, but a variable cost of $1.75. Selling price is $2.50 per bag.a) What is the crossover point in units (point of indifference) forEric Limon/ Shutterstock the processes? b) What is the monthly profit or loss if the company changes tothe Hi-Speed shredder and sells 60,000 bags per month?c ) What is the monthly profit or loss if the company stays withClunker and sells 60,000 bags per month?Amy gets home from classes around 5 P.M. each day andcan only reasonably work on her studies until midnight. Sheusually watches an hour of television to relax, works out for30 minutes, and takes 30 minutes to eat dinner. She hasfound that if she takes a 5-minute break each hour, she can remain more focused. Today she feels 80% on task. Home-work for the evening includes two critical analyses for Gov-ernment, one thesis for American Lit, and three Spanish translations. Estimated processing times are shown below.Setup time includes time spent online gathering resourcesand finding reference books around the apartment.a. What is Amy’s effective capacity to do work thisevening?b. What is her load percent? c. How would you suggest she adjust her capacity to com-plete her tasks on time? Processing TimeTasks Setup Time per TaskGovernment 15 minutes 40 minutesAmerican Lit 30 minutes 120 minutesSpanish 10 minutes 30 minutesCalifornia Gardens, Inc., prewashes, shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replace the old machine, referred to in the shop as "Clunker." Hi-Speed will have a fixed cost of $87,000 per month and a variable cost of $1.20 per bag. Clunker has a fixed cost of only $31,000 per month, but a variable cost of $1.70. Selling price is $2.40 per bag. Part 2 a) What is the crossover point in units (point of indifference) for the processes? The crossover point is units. (Round your response to the nearest whole number.)
- California Gardens, Inc., prewashes, shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replace the old machine, referred to in the shop as "Clunker." Hi-Speed will have a fixed cost of $87,000 per month and a variable cost of $1.20 per bag. Clunker has a fixed cost of only $31,000 per month, but a variable cost of $1.70. Selling price is $2.40 per bag. Part 2 a) What is the crossover point in units (point of indifference) for the processes? The crossover point is 112000112000 units. (Round your response to the nearest whole number.) Part 3 b) What is the monthly profit or loss if the company changes to the Hi-Speed shredder and sells 90,000 bags per month? The monthly profit or loss if the company changes to the Hi-Speed shredder and sells 90,000 bags per month is $enter your response here. (Round your response to the nearest dollar and include a minus sign if necessary.)California Gardens, Inc., prewashes, shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replace the old machine, referred to in the shop as "Clunker." Hi-Speed will have a fixed cost of $87,000 per month and a variable cost of $1.20 per bag. Clunker has a fixed cost of only $31,000 per month, but a variable cost of $1.70. Selling price is $2.40 per bag. a) What is the crossover point in units (point of indifference) for the processes? The crossover point isunits. (Round your response to the nearest whole number.)California Gardens, Inc., prewashes, shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replacethe old machine, referred to in the shop as "Clunker." Hi-Speed will have a fixed cost of $85,000 per month and a variable cost of $1.25 per bag. Clunker has a fixed cost of only $44,000 per month, but a variable cost of$ 1.75. Selling price is $2.50 per bag.a) What is the crossover point in units (point of indifference) for the processes?b) What is the monthly profit or loss if the company changes to the Hi-Speed shredder and sells 60,000 bags per month? c) What is the monthly profit or loss if the company stays with Clunker and sells 60,000 bags per month?
- How important is matching process capabilities to product requirements?What are the benefits of matching process capabilities to product requirements?What are the benefits that the POI program can bring to Starwood? Canthese benefits be extended to other processes and properties within theStarwood system?
- How important is it to align process capabilities to product requirements?What type of process—project, job shop, flow shop, and continuous flow—would most likely be used to produce the following? Explain your reasoning. Personal computers - Weddings- Paper-Continuous Paper Books- Tax preparation - What type of process – project, job shop, flow shop, and continuous flow – would most likely be used to produce the following? Gasoline- Air-conditioners - Specialized machine tools- Ships- Producing many flavors of ice cream-Two different manufacturing processes are being considered for maing a new product. The fir proceess is less capital-intensive, with fixed costs of only $50,000 per year and variable costs of $700 per unit. The scond proess has fixed costs of $400,000 but has variable costs of only $200 per unit. If the expected annual sales for theproduct is 800 units, which process would you choose?