A global manufacturer of electrical switching equipment (ESE) is considering outsourcing the manufacturing of an electrical breaker used in the manufacturing of switch boards. The companyestimates that the annual fixed cost of manufacturing the part in-house, which includes equipment, maintenance, and management, amounts to $10 million. The variable cost of labor and materialsare $15.00 per breaker. The company has an offer from a major subcontractor to produce the part for $22.00 per breaker.a. How many breakers would the electrical switching equipment company need per year to make the in-house option the least costly?The company should consumeView an example Get more help -breakers per year to make the manufacturing the part in-house option the least costly. (Enter your response rounded to the nearest whole number.)Clear allCheck answer

Production is the process in which inputs are combined to have the required output. It includes a…

Answered: a. How many breakers would the…

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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The U.S. Airfilter company has hired you as a supply chain consultant. The company makes air filters for residential heating and air-conditioning systems. These filters are made in a single plant located in Louisville Kentucky, in the United States. They are distributed to retailers through wholesale centers in 100 locations in the United States, Canada, and Europe. You have collected the following data to the value of inventory in the U.S. Airfilter supply chain. Qtr. 1 Qtr.2 Qtr. 3 Qtr. 4 (Jan-Mar) (Apr-Jun) (July-Sept) (Oct-Dec) All amounts in millions of U.S. dollars Sales (total quarter): United States 414 402 502 514 Canada…
Hau Lee Furniture, Inc., spends 60% of its sales dollars in the supply chain and finds its current profit of $10,000 inadequate. The bank is insisting on an improved profit picture prior to approval of a loan for some new equipment. Hau would like to improve the profit line to $25,000 so he can obtain the bank's approval for the loan. Current Situation Sales $100,000 S60,000 (60%) $20,000 (20%) $10,000 (10%) $10,000 (10%) Cost of material Production costs Fixed cost Profit a) What percentage improvement is needed in the supply chain strategy for profit to improve to $25,000? What is the cost of material with a $25,000 profit? A 25 % decrease in material (supply-chain) costs is required to yield a profit of $25,000, for a new material cost of $ 45000 . (Enter your responses as whole numbers.) b) What percentage improvement is needed in the sales strategy for profit to improve to $25,000? What must sales be for profit to improve to $25,000? A % increase in sales is required to yield a…
The cash discount is 1. the most common industry discount 2. given to the special vendors 3. Is given when they purchase a large quantity 4. given when the delivery is accepted early
Below are the market prices and historical prices that your company has been paying for three different purchasing teams. Which of the purchasing teams is performing the BEST? Steel Paper Fuel a) Steel Ob) Paper PPI (Market) Oct-19 173.7 176.3 166.8 Oct-20 191.7 186.5 187.6 O) Fuel O d) None of the teams are performing well Oe) There is not enough information to make a determination Actual (Historical) Oct-19 2.25 27 132.75 Oct-20 3 28.8 145
The ability to delay payment for different items from different vendors, up to an amount limit, during a period of time is called a. revolving credit. b. installment credit. c. a charge card. d. a credit card. e. a credit cycle.
Reactions and additional comments: Per the textbook definition, the term bullwhip effect “Describes the distortions in a supply chain caused by changes in customer demand, resulting in large swings in inventory levels as the orders ripple upstream from the retailer to the distributor and manufacturer” (Wallace, 2020, p. 137). The term is derived from physics. When cracking a whip, someone just has to snap their wrist and it causes a wave like effect that increases with a chain reaction. The bullwhip effect is a term that was first used in the 1990s. The makers of Pampers had many changes in order volumes, when usually diapers were bought at a constant rate (The Bullwhip effect : History and solutions, 2021). This caused the company to receive hard hits in demand with each new order from the retailers. For example, during the Covid-19 pandemic, everyone was told to stay home, go to school from home, and work from home. This caused the need for many more computers and electronic…
B15. The restaurant uses 24 bottles of wine to operate and it has 3 bottles in hand. Calculate the Desired Ending Inventory (DEl) if the number of days in the delivery period is 2 and the safety factor is 10%. Using the Periodic Order Method, calculate the number of bottles that the restaurant should order.
Chris Sandvig Irrigation, Inc., has summarized the price list from four potential suppliers of an underground control valve. See the table below. Annual usage is 1,100 valves; order cost is $10 per order; and annual inventory holding costs are $7.55 per unit. D D Vendor A Quantity 1-14 15-24 25-99 100-199 200-399 400+ Price $35.00 34.75 33.55 32.35 31.15 30.75 Vendor C Vendor D Vendor A D Vendor B Vendor B Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost? Chris Sandvig Irrigation should order units at a time from (enter your response as a whole number). Quantity 1-24 25-99 100-199 200-399 400+ Price $34.75 34.00 32.80 31.60 30.50 MacBook Air O Vendor C Quantity 1-49 50-149 150-299 300+ Price $34.50 33.75 32.50 31.10 Vendor D Quantity 1-149 150-299 300+ Price $34.25 33.00 31.00 Next
(Problem 1) A manager of Drexel Clothing Company has to make a decision on shipping. There are two shippers, A and B. Both offer a two-day rate: A for $500 and B for $525. In addition, A offers a three-day rate of $450 and a nine-day rate of $325 and B offers a four-day rate of $400 and a seven-day rate for $375. Annual holding costs are 25% of unit price. Four hundred boxes are to be shipped, and each box has a price of $250. The shipping charges are for the entire batch of 400 boxes. Which shipping alternative would you recommend? Explain.
Which of the following is true about mapping your full supply chain in order to identify vulnerabilities? Multiple Choice A) it is time-consuming B) it can be less costly than a surprise disruption C) it is expensive D) none of the above E) all of the above
bus ules des cussions zzes Please refer to the Network Diagram below. Let Xij represent the number of units shipped from i to j, where i= 1, 2, 3 and j-4, 5, 6. The objective function is to minimize overall transportation cost while making sure all demand is met. Answer each question independently of the other questions. Unit shipping costs are intentionally hidden from the diagram. Supply 100 50 50 Plants 2 Retailers Demand 50 25 110 Under which of the following situations (consider them separately) would we have demand shortages? I. Route 1-6 is removed.

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