A product can be produced on four different machines. Each machine has a fixed setup cost, variable production cost per unit processed,and a given production capacity given below. A total of 2,500 units of the product must be produced.Machine 1 Machine 2 Machine 3 Machine 4Fixed cost $700 $800 $920 $1,000Var cost $16 $18 $22 $20Capacity 900 1,000 1,200 1,600Answer the following questions:a) What is the value of the objective function?b) At the optimum, what is the capacity utilization (in %) of machine 4 (round to nearest 0.1% but don't include %-sign))?37.5c) Suppose marketing has established a price of $19 for this product. How much total profit will you make?

Binary linear programming (BIP) is a part of linear programming. BIP restricts the decision…

Answered: A product can be produced on four…

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 TV factory plans to add production lines for its new product and plans to produce as many as 200 units per hour. The production process, production time, and the production process to continue the next production process are described in the table below: (1 day = 8 working hours) Production Process Production Time (s) The production process that follows the next production according to the list below A 12 - B 15 A C 8 A D 5 B,C E 20 D Based on the data above. a. Draw a diagram of the production process.b. With the diagram that you have described above, can the production process run properly according to the plan? Explain the process of each workstation that you have created!.
A.J.’s Wildlife Emporium manufactures two unique birdfeed-ers (Deluxe and Super Duper) that are manufactured andassembled in up to three different workstations (X, Y, Z) us-ing a small batch process. Each of the products is producedaccording to the flowchart in Figure 5.14. Additionally, theflowchart indicates each product’s price, weekly demand,and processing times per unit. Batch setup times are neg-ligible. A.J. can make and sell up to the limit of its weeklydemand and there are no penalties for not being able to meetall of the demand. Each workstation is staffed by a workerwho is dedicated to work on that workstation alone and ispaid $16 per hour. The plant operates 40 hours per week,with no overtime. Overhead costs are $2,000 per week. Basedon the information provided, as well as the information con-tained in the flowchart, answer the following questions.a. Using the traditional method, which bases decisionssolely on a product’s contribution to profits and over-head, what is the…
I need the answer at 20 minute
A manager must whether to buy machine A or B. Machine costs are as follows: A $52,000 each; B $100,000 each Product forecast and processing times on the machines are as follows Processing Time per unit (minutes) Product Annual Demand A B 1 8,000 2 18,000 3 10,000 Assume that only purchasing costs are being considered. Which machine would have the lowest purchase cost and how many of that machine would be need? Machines operate 8 hours a day 250 days per year. The machines differ in hourly operation costs. The A machines have an hourly operating cost of $12 each and B machines have an hourly operating cost of $30 each. What is the operating cost per year and which alternative should be selected to minimize total cost (for the first year) while satisfying the processing requirements? Edit Format Table 12pt v Paragraph v BIUA ev T?v||: MacBook Air esc 80 888 DII F1 F2 F3 F4 F5 F6 F7 FR @ # $ % 1 2 3 4 5 7 8. Q W E R T Y A S D F G < CO
The M-N plant manufactures two different products: M and N. Selling prices and weekly market demands are shown in the following diagram. Each product uses raw materials with costs as shown. The plant has three different machines: A, B, and C. Each performs different tasks and can work on only one unit of material at a time. Resources: A, B, C (one each) Availability: 3,800 min./week Operating expense: $12,000/week Product M $190/unit 120 units/week Machine A Machine C Machine B 15 min./unit A 20 min./unit RM-1 $60/unit Product N $200/unit 80 units/week 15 min./unit B 10 min./unit RM-2 $40/unit B 10 min./unit RM-3 $40/unit Process times for each task are shown in the diagram. Each machine is available 3,800 minutes per week. There are no "Murphys" (major opportunities for the system to foul up). Setup and transfer times are zero. Demand is constant. Operating expenses (including labor) total a constant $12,000 per week. Raw materials are not included in weekly operating expenses. a.…
How did they get 48?
A process currently services an average of 45 customers per day. Observations in recent weeks show that its utilization is about 90 percent, allowing for just a 10 percent capacity cushion. If demand is expected to be 85 percent of the current level in five years and management wants to have a capacity cushion of just 4 percent, what capacity requirement should be planned? The needed capacity requirement is number.) customers per day. (Enter your response rounded up to the next whole
Operation 1 Work Center A 2B 3 4 C D SE 5 Hourly Unit 70 80 100 50 60 60 Output Rate Product X is manufactured by starting with raw material and then processing it sequentially through 5 operations using work centers A to E resepectively (see diagram). The hourly rates for each machine are given in the table. What is the maximum output per hour for product X?

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