Problem 3Your company has decided to purchase new desk chairs for its 30 employees after discoveringthey have a budget surplus. The table below gives both the unit price of a chair, as well as theminimum number of chairs that must be purchased to qualify for that price.ABсDUnit price500450300425Min. order172010a. How can the company minimize the cost of buying everyone new chairs?b. If in addition to the unit cost per chair, each supplier applies a fixed shipping charge, fs,how the model change?

Every company works hard in order to minimize its costs and increase its revenue. Cost refers to the…

Answered: Problem 3 Your company has decided to…

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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part b
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13.2 A company manufactures component parts for machine tools in North America and ships them to Southeast Asia for assembly and sale in the local market. The components are shipped by sea, transit time averages 6 weeks, and the shipping costs $2700 per shipment. The company is considering moving the parts by air at an estimated cost of $7500; the shipment taking 2 days to get there. If inventory in transit for the shipment costs $125 per day, should they ship by air?
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3 Problems seen in the situation of the Company: 1. It does not earn too much but it makes sales enough for maintenance, salaries, income, and savings. 2. Company B makes use of a traditional inventory wherein they manually count their stocks and money. 3. They only have one supplier for liquors. For other supplies which are accessible, they usually buy from the wet market nearby. Proposed Solutions: Solution for no. 1- Digital marketing Solution for no. 2 – Perpetual Inventory System Solution for no. 3 – Supplier Quality Management System Hello, can someone help me? How am I going to create a decomposition diagram for these three solutions?

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