Determine the best decision using each of the following criteria:a. Miniminb. Minimaxc. Equal likelihoodd. Minimax regretS1.10, Telecomp in Problem S1-9 estimates that the probabilities ofthe severity of events in each of the countries are as follows:Event SeveritySupplier CountryLowModerateHigh.43.45.12China.56.33.11India.37.41.22Thailand.47.46.07PhilippinesDetermine the best decision for Telecomp using expected value.f three ney S1.9. Telecomp, a computer manufacturer with a global supplychain, is adding a new supplier for some of its component parts,and the suppliers it's considering are in China, India, Thailand,and the Philippines. As part of its risk management program Tele-comp wants to assess the possible impact of a supplier shutdownin the event of a natural disaster, such as a flood, fire, or an earth-quake. The following payoff table summarizes Telecomp's losses(in millions of dollars) for supplier shutdowns given different lev-els of event severity:Event SeverityLowModerateHighSupplier Country$8$11$21China14India1217Thailand15Philippines3.

Answered: Determine the best decision using each…

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 number of internal disk drives (in millions) made at a plant in Taiwan during the past 5 years follows: F Year 4 Disk Drives 142 164 196 204 216 B a) Using simple linear regression, the forecast for the number of disk drives to be made next year-isk drives (round your response to one decimal place)
Grace owns and operates a chain of 12 vegetable protein "hamburger" restaurants in northern Luzon. Sales figures and advertising expenses for the stores are provided in the table below. Sales are given in millions of dollars; advertising expenses are in tens of thousands of dollars. Calculate a regression line for the data. What is your forecast of sales for a store with advertising spending of $240,000? $300,000? Vince Coffee chain sells temperature-controlled smart mugs at $150 each. The monthly sales of mugs for the last twelve months were: Given: Month Sales January 825 February 756 March 808 April 950 May 678 June 875 July 695 August 589 September 690 October 890 November 1030 December 1525 a. Compute a 3-month moving average demand forecast for each month from June through December. b. Compute a 5-month moving average demand forecast for each month from June through December. c. Calculate the MSE…
Lenovo uses the ZX-81 chip in some of its laptop computers. The prices for the chip during the past 12 months were as follows: a) Use a 2-month moving average on all the data and plot the averages and the prices.b) Use a 3-month moving average a nd add the 3-month plot to the graph created in part (a).c) Which is better (using the mean absolute deviation): the 2-month average or the 3-month average?d) Compute the forecasts for each month using exponential smoothing, with an initial forecast for January of $1.80. Use a = .I, then a = .3, and finally a = .5. Using MAD, whicha is the best?
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Case Study on Whirlpool Corporation: American home appliances manufacturer Whirlpool intends to turn its Indian business into a global sourcing hub for components and finished products, safeguarding from potential disruptions arising from reliance on China supply chain. Whirlpool India Ltd. (WIL) is working with suppliers in China and Southeast Asia on ways to incentivise them in conjunction with Indian government’s policies to set up shop in India, for components - compressors, motors and PCBs, all of which are capital-intensive manufacturing investments.According to WIL, there are US-China geopolitical tensions. WIL is making efforts at educating component makers how India can become a sourcing hub for Whirlpool globally. Indo-China geopolitical situation and benefits offered under Make-in-India programme has shifted focus on creating a local sourcing base. WIL imports 28% of required components, which will be reduced. While Indian government is encouraging domestic sourcing, it is…
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The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows Year Mileage 1 3,100 2 4,000 3 3,450 4 3,850 5 3,750 a) Using a 2-year moving average, the forecast for year 6 = 3800 miles (round your response to the nearest whole number). b) If a 2-year moving average is used to make the forecast, the MAD based on this = 108.3 miles (round your response to one decimal place). (Hint. You will have only 3 years of matched data.) c) The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) = miles (round your response to the nearest whole number)
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The SCORE framework espoused in the article entitled "The Board's Role in Sustainability" recommends each of the following to achieve board-of-director buy-in of a company's sustainability initiatives, except: articulating a simple and clear statement of purpose. taking "ownership" of the company's stated purpose. basing compensation systems on metrics that reflect purpose, not just profits recognizing that ultimately the firm has a fiduciary responsibility to put shareholders' interests above all others.
A small local grocery has seen a decline in sales in the past few months. The owner has made no changes to the store in the last year. In the beginning, the owner thought the sales drop might be seasonal. However, looking at the past few years of sales data, the owner noticed that there had not been any decrease in sales during the same time in the previous years. Design a study to identify what might be the probable ultimate cause/s of the decline in sales for a grocery. For looking at the different causes, consider the box and arrow diagram given. Note the following things about the box and arrow diagram: If the arrow’s head is towards a box, that means the variable in the box (where the arrow’s head is) affects the variable in the box from where the arrow originated. E.g “Revenue/Sales” is affected by the “Number of shoppers/customers”. The boxes in grey are the variables you as a firm/owner can directly expect to affect which can further affect other variables in the model. E.g.…
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