A company is selecting equipment for its manufacturing process for phone covers. Phone covers can be produced through compression molding or injection molding. The equipment for compression molding costs 115000 dirhams and the variable cost is 7 dirhams per case. Injection molding equipment costs 185000 dirhams and the variable cost is 5.5 dirhams. What is the crossover point between the two processes?
1 A company is selecting equipment for its manufacturing process for phone covers. Phone covers can be produced through compression molding or injection molding. The equipment for compression molding costs 115000 dirhams and the variable cost is 7 dirhams per case. Injection molding equipment costs 185000 dirhams and the variable cost is 5.5 dirhams. What is the crossover point between the two processes?
2 A fast food restaurant serves customers through two lines: counter and drive through. The restaurant serves 500 customers per day, 65% of whom are served at the counter. On average, there are 3 people in line at the counter and 4 cars in line at the drive through. What is the average serving time for customers at the restaurant in days?
3 What is the expected value (cost) of the following process given 3 levels of demand?
Fixed cost = 25,000 dirhams
Variable cost = 243 dirhams
|
Demand |
Low |
Medium |
High |
|
Units |
1200 |
1800 |
3000 |
|
Probability |
25% |
40% |
35% |
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