A worker works 8 hours per day and will be paid RM50 per day. They can work overtime with maximum of 2 hours per day with RM10 per hour. 1.8 hr is required to produce a unit of product. Inventory carrying cost is set as RM3 per unit per month. Subcontracting cost per unit is RM15. Cost of increasing daily production rate (hiring and training) is RM400 per unit. Cost of decreasing daily production rate (layoffs) is RM200 per unit (Using transport method) Month Expected Demand July 1900 August 1000 Sept 1800 Oct 1200 Nov 1000 Dec 1100 Production Days 22 22 21 22 20 18
A worker works 8 hours per day and will be paid RM50 per day. They can work overtime with maximum of 2 hours per day with RM10 per hour. 1.8 hr is required to produce a unit of product. Inventory carrying cost is set as RM3 per unit per month. Subcontracting cost per unit is RM15. Cost of increasing daily production rate (hiring and training) is RM400 per unit. Cost of decreasing daily production rate (layoffs) is RM200 per unit (Using transport method) Month Expected Demand July 1900 August 1000 Sept 1800 Oct 1200 Nov 1000 Dec 1100 Production Days 22 22 21 22 20 18
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...
Related questions
Question
please answer within 30 minutes.
Transcribed Image Text:A worker works 8 hours per day and will be paid
RM50 per day. They can work overtime with
maximum of 2 hours per day with RM10 per hour.
1.8 hr is required to produce a unit of product.
Inventory carrying cost is set as RM3 per unit per
month. Subcontracting cost per unit is RM15. Cost
of increasing daily production rate (hiring and
training) is RM400 per unit. Cost of decreasing daily
production rate (layoffs) is RM200 per unit (Using
transport method)
Month
Expected Demand
July
1900
August
1000
Sept
1800
Oct
1200
Nov
1000
Dec
1100
Production Days
22
22
21
22
20
18
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 4 images
Recommended textbooks for you
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Operations Management
Operations Management
ISBN:
9781259667473
Author:
William J Stevenson
Publisher:
McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi…
Operations Management
ISBN:
9781259666100
Author:
F. Robert Jacobs, Richard B Chase
Publisher:
McGraw-Hill Education
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Operations Management
Operations Management
ISBN:
9781259667473
Author:
William J Stevenson
Publisher:
McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi…
Operations Management
ISBN:
9781259666100
Author:
F. Robert Jacobs, Richard B Chase
Publisher:
McGraw-Hill Education
Purchasing and Supply Chain Management
Operations Management
ISBN:
9781285869681
Author:
Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:
Cengage Learning
Production and Operations Analysis, Seventh Editi…
Operations Management
ISBN:
9781478623069
Author:
Steven Nahmias, Tava Lennon Olsen
Publisher:
Waveland Press, Inc.