he company has three months (April. May and June) for subtracting the units for both NOOR-Company's and AL-SALAM company 2. The company should first satisfy AlNOOR company demand then AL-SALAM company demand. 3. Both production units will work in producing the units 4. Production Unit B will be busy during April 5. The company can work up to 24 hours per day 6. The profit should be at least $1500 Do you think that XYZ-Company should accept or reject the offer
he company has three months (April. May and June) for subtracting the units for both NOOR-Company's and AL-SALAM company 2. The company should first satisfy AlNOOR company demand then AL-SALAM company demand. 3. Both production units will work in producing the units 4. Production Unit B will be busy during April 5. The company can work up to 24 hours per day 6. The profit should be at least $1500 Do you think that XYZ-Company should accept or reject the offer
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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1.The company has three months (April. May and June) for subtracting the units for both NOOR-Company's and AL-SALAM company
2. The company should first satisfy AlNOOR company demand then AL-SALAM company demand.
3. Both production units will work in producing the units
4. Production Unit B will be busy during April
5. The company can work up to 24 hours per day
6. The profit should be at least $1500
Do you think that XYZ-Company should accept or reject the offer?
Transcribed Image Text:The XYZ-company has received offers for subcontracting from NOOR-Company's and AL-
SALAM company. Table (1) shows information on these two offers:
NOOR Company
ALSALAM Company
No. Units
20
30
Period
60 Days
40 Days
Price
$100
$130
Fine
$15
$20
Table (2) show information about the two Production Units of XYZ-Company (in hours)
Production unit A
Production Unit B
Units
Labor 1
Labor 2
Labor 3
Labor 4
Labor 5
Labor
Labor 3
Labor 4
Labor 5
Units
101
10
99
20
94
Labor 2
10
70
89
78
90
100
96
90
120
86
81
98
20
73
81
73
83
83
94
117
30
64
74
67
78
76
72
30
92
78
90
113
89
84
81
78
72
69
62
40
59
68
61
68
40
89
68
88
109
50
55
63
56
63
50
85
63
85
105
61
60
49
54
51
56
52
47
60
80
56
79
101
98
95
91
70
46
49
48
75
70
51
70
80
90
100|
51
74
80
40
43
40
45
45
69
41
36
29
90
32
39
40
65
40
64
37
100
24
31
33
60
33
58
87
30
NOOR
ALSALAM
Company Company
Production cost
$60
$90
Fixed cost
$500
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