**Macon Controls Production Analysis**Macon Controls produces three different types of control units used to protect industrial equipment from overheating. Each of these units must be processed by a machine that Macon considers as the process bottleneck. The plant operates on two 8-hour shifts, 5 days per week, 52 weeks per year. The table below provides time standards at the bottleneck, lot sizes, and demand forecasts for the three units. Due to demand uncertainties, the operations manager obtained three demand forecasts: pessimistic, expected, and optimistic. The manager believes a 30 percent capacity cushion is best.**Table: Time Standards and Demand Forecasts**| Component | Processing Time (hr/unit) | Setup Time (hr/lot) | Lot Size (units/lot) | Pessimistic Demand | Expected Demand | Optimistic Demand ||-----------|---------------------------|---------------------|----------------------|--------------------|-----------------|------------------|| A | 0.05 | 1.0 | 50 | 16,000 | 16,000 | 27,000 || B | 0.30 | 4.6 | 80 | 11,000 | 12,000 | 17,000 || C | 0.05 | 8.3 | 100 | 16,000 | 23,000 | 35,000 |**Analysis Question:**a. How many machines are required to meet minimum (Pessimistic) demand, expected demand, and maximum (Optimistic) demand? (Responses are rounded up to the next whole number.)**Capacity Requirement Calculation**The demand forecast in terms of machines is represented as follows:- **Pessimistic Demand Forecast:** 16,000 units requiring machines- **Expected Demand Forecast:** (Value not provided in the image)- **Optimistic Demand Forecast:** (Value not provided in the image)This setup helps determine the number of machines needed to accommodate different levels of demand forecasts while considering the operational time and capacity cushion.

The detailed solution to this question is given in Step 2.

Answered: Macon Controls produces three different…

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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