Tuff-Rider, Inc., manufactures touring bikes and mountain bikes in a variety of frame sizes, colors, and component combinations. Identical bicycles are produced in lots of 100. The projected demand, lot size, and time standards are shown in the following table: Item Touring bikes 6940 units/year Lot size 100 units Standard processing 0.25 hour/unit time Standard setup time 2 hours/lot Demand forecast Mountain bikes 6990 units/year 100 units 0.50 hour/unit 3 hours/lot The shop currently works 8 hours a day, 5 days a week, 50 weeks a year. If the shop maintains a 15 percent capacity cushion, how many workstations will be required next year to meet expected demand without using overtime?
Tuff-Rider, Inc., manufactures touring bikes and mountain bikes in a variety of frame sizes, colors, and component combinations. Identical bicycles are produced in lots of 100. The projected demand, lot size, and time standards are shown in the following table: Item Touring bikes 6940 units/year Lot size 100 units Standard processing 0.25 hour/unit time Standard setup time 2 hours/lot Demand forecast Mountain bikes 6990 units/year 100 units 0.50 hour/unit 3 hours/lot The shop currently works 8 hours a day, 5 days a week, 50 weeks a year. If the shop maintains a 15 percent capacity cushion, how many workstations will be required next year to meet expected demand without using overtime?
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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