The Acme Manufacturing Company is concerned about its warehouse needsand how they can best be met. The company produces a line of spare parts forappliance. Due to the combination of production policies and demand patterns,warehousing space requirement vary considerably throughout the year. Spacerequirements are known with a great deal of certainty because the product linesatisfies a replacement market. Growth, or decline, in production and sales isnot anticipated in the near future. Monthly sales rates for a typical year are asfollows:MonthSales, SJan,5,000,000Feb.4,000,000Mar.3,000,000Aprг.2,000,000May1,000,000June250,000July1,250,000Aug.2,250,000Sept.3,000,000Oct3,500,000Nov.4,000,000Dec.4,500,000Total33,750,000Warehouse inventory turns at the rate of two times per month. The price ofmerchandise is $5 per Ib. On average, merchandise occupies 0.1 cubic feet ofwarehouse space per lb and can be stacked 10 ft. high. Given aisles,administrative space, and normal operating efficiency, only 50 percent of thetotal warehouse is actually used for storage.A private warehouse can be constructed and equipped for $40 per sq. ft. andcan be amortized over 20 years. The cost of operations is $0.03 per dollar ofthroughput (Ib). Annual fixed costs amount to $15 per sq. ft. of total space.Space may also be rented for a storage charge on inventory of $0.07 per Ib permonth and a handling charge of $0.06 per lb of throughput.Suppose the company is struggling about building a large (50,000 sq. ft),median (35,000 sq. ft), or small (15,000 sg. ft) warehouse. What size of privatewarehouse should be constructed? What amount of public warehouse spaceshould be rented?

a. Space Requirement in Feb. Given: Inventory Turns = 2 Throughput = $4,000,000 $1000 merchandise…

Answered: The Acme Manufacturing Company is…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

See similar textbooks

Similar questions

APC industries has been experiencing significant growth and has been having difficulty meeting customer demands recently. They are considering three options to address this issue. They can move to a larger facility, add a second shift or use a subcontractor to assist in production. The annual payoff ofeach option depends on if the current market continues to expand hold s steady or decline. The expected payoff for each combination is shown in the table below Option Expand Steady Decline Move to larger city 250,000 125,000 -90,000 Add a second shift 175,000 80,000 -45,000 Subcontract 90,000 15,000 -10,000 What are the most that the APC should be willing to pay for additional information? UseExpected Regret Use the alternative method to verify EVPI
The toy manufacturer in the prototype example is going to release two new toys in the market. These are the magical pink wand and the ultimate wooden sword that contributes 30 pesos and 50 pesos respectively in the total profit. The daily production input and the available supply is given below. Plastic Wood Labor Magical pink wand 3 Ultimate wooden sword 2 2 Availability 50 120 180 The manufacturer wants to determine the daily production schedule that will give them the maximum profit. i. Formulate the LP model for the problem ii. Solve the problem graphicall iii. If the objective function is changed to Max z =c,x, +c,x2, determine the range of 2 |that will keep the computed optimal solution to remain optimal. Give a logical answer.
need comprehensive and correct answers.This question is about optimization.
An Investec analyst is looking to invest R180,000 in hopes of getting the highest return possible. There are four investment options available: bonds, mutual funds, stocks, or a savings account yielding interest. The bonds give a 4% annual return, mutual funds give an 9% return, stocks give a 12% return, and the savings account gives a 3% return with all investments being subject to risk. To control for risk, the following constraints are put into place: a) No more than 12% of the total investment can be put into stocks. b) At most 30% must be invested in mutual funds and/or the savings account. c) The amount put in the bonds must be no more than the amount put into the other investments combined. d) The ratio of money invested in mutual funds to the amount invested in stocks and the savings account should be at least 2 to 1. e) All the R180,000 must be invested and no shorting is allowed. Formulate a linear programming model for this problem to get the highest return (i.e., Define…
Frijo-Lane Food Products own farms in the Southwest and Midwest, where it grows and harvest potatoes. It then ships these potatoes to three processing plants in Atlanta, Baton Rouge, and Chicago, where different varieties of products, including chips, are produced. Recently, the company has experienced a growth in its product demand, so it wants to buy one or more new farms to produce more potato products. The company is considering six new farms with the following annual fixed costs and projected harvest: Farm Fixed Annual Costs ($1,000s) Projected Annual Harvest (thousands of tons) 1 $405 11.2 2 390 10.5 3 450 12.8 4 368 9.3 5 520 10.8 6 465 9.6 The company currently has the following additional available production capacity (tons) at its three plants, which it wants to utilize: Plant Available Capacity (thousands of tons) A 12 B 10 C 14 The shipping costs ($) per ton from the farms…
The president of Hill Enterprises, Terri Hill, projects the firm's aggregate demand requirements over the next 8 months as follows: May January February 2,200 2,300 June July 1,700 March April August 1,300 Her operations manager is considering a new plan, which begins in January with 200 units on hand and ends with zero inventory. Stockout cost of lost sales is $100 per unit. Inventory holding cost is $20 per unit per month. Ignore any idle-time costs. The plan is called plan B. 1,500 1,600 1,600 1,900 Plan B: Produce at a constant rate of 1,300 units per month, which will meet minimum demands. Then use subcontracting, with additional units at a premium price of $80 per unit. Subcontracting capacity is limited to 1,000 units per month. Evaluate this plan by computing the costs for January through August. In order to arrive at the costs, first compute the ending inventory and subcontracting units for each month by filling in the table below (enter your responses as whole numbers). Get…
Sandra has at most $200,000 to invest in stocks, bonds, and money market funds. She expects annual yields of 15%, 10%, and 8%, respectively, on these investments. If Sandra wants at least $50,000 to be invested in money market funds and requires that the amount invested in bonds be greater than or equal to the sum of her investments in stocks and money market funds, determine how much she should invest in each vehicle to maximize the return on her investments. stocks $ bonds $ money market funds $ What is the maximum return?$_______ plz help im lost and have one chance
The Acme Manufacturing Company is concerned about its warehouse needs and how they can best be met. The company produces a line of spare parts for appliance. Due to the combination of production policies and demand patterns, warehousing space requirement vary considerably throughout the year. Space requirements are known with a great deal of certainty because the product line satisfies a replacement market. Growth, or decline, in production and sales is not anticipated in the near future. Monthly sales rates for a typical year are as follows: Month Sales, $ Jan. 5,000,000 Feb. 4,000,000 Mar. 3,000,000 Apr. 2,000,000 May 1,000,000 June 250,000 July 1,250,000 Aug. 2,250,000 Sept. 3,000,000 Oct. 3,500,000 Nov. 4,000,000 Dec. 4,500,000 Total 33,750,000 Warehouse inventory turns at the rate of two times per month. The price of merchandise is $5 per lb. On average, merchandise occupies 0.1 cubic feet of warehouse space per lb and can be stacked 10 ft. high. Given…

Recommended textbooks for you

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

Elementary Statistics: Picturing the World (7th E…

Statistics

ISBN:

9780134683416

Author:

Ron Larson, Betsy Farber

Publisher:

PEARSON

The Basic Practice of Statistics

Statistics

ISBN:

9781319042578

Author:

David S. Moore, William I. Notz, Michael A. Fligner

Publisher:

W. H. Freeman

Introduction to the Practice of Statistics

Statistics

ISBN:

9781319013387

Author:

David S. Moore, George P. McCabe, Bruce A. Craig

Publisher:

W. H. Freeman

SEE MORE TEXTBOOKS