Which of the following statements about your company's assembly operations for cameras and drones is TRUE? It is standard practice for your company to pay for the capital costs of new workstations, facilities expansions, and robotics upgrades by reducing dividend payments to shareholders in the year the capital costs are incurred. The maximum number of cameras/drones that can be assembled at overtime is 20% of annual PAT productivity (the number of units a camera/drone PAT assembles each year)-- however, if robotics upgrades are undertaken, the maximum rises to 30% of annual PAT productivity. If the company decides to shift from manual assembly to robotics-assisted assembly for cameras and/or drones, ALL existing workstations in a camera or drone assembly facility must be upgraded to include the use of a robot and all workstations added thereafter in that facility must be robot-equipped. ○ Shifting to robot-assisted assembly results in added annual maintenance costs of $6,000 per workstation because robots require monthly maintenance and also, from time to time, break down and have to be repaired. All of the company's capital expenditures for fixed assets (facilities, workstations, robotics upgrades, office equipment, and furnishings) at the Taiwan plant site are depreciated over 25 years at the rate of 4% annually. Unit sales of wearable, miniature action-capture cameras are reliably projected to grow 4.5%-6.5% annually in North America during Years 6-10, slowing to 2.5%-4.5% annually during Years 11-15. faster in North America than in Europe-Africa during the entire Year 6-Year 15 period faster in the Asia-Pacific region than in Latin America during both Years-6-10 and Years 11-15. 6-8% annually in Latin America in Years 6-10, slowing to 4-6% annually during Years 11-15. slower in North America and Latin America than in Europe-Africa and the Asia-Pacific throughout Years 6-15.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter13: Regression And Forecasting Models
Section13.3: Simple Regression Models
Problem 5P: Management of a home appliance store wants to understand the growth pattern of the monthly sales of...
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Which of the following statements about your company's assembly
operations for cameras and drones is TRUE?
It is standard practice for your company to pay for the capital
costs of new workstations, facilities expansions, and robotics
upgrades by reducing dividend payments to shareholders in the
year the capital costs are incurred.
The maximum number of cameras/drones that can be
assembled at overtime is 20% of annual PAT productivity (the
number of units a camera/drone PAT assembles each year)--
however, if robotics upgrades are undertaken, the maximum
rises to 30% of annual PAT productivity.
If the company decides to shift from manual assembly to
robotics-assisted assembly for cameras and/or drones, ALL
existing workstations in a camera or drone assembly facility must
be upgraded to include the use of a robot and all workstations
added thereafter in that facility must be robot-equipped.
○ Shifting to robot-assisted assembly results in added annual
maintenance costs of $6,000 per workstation because robots
require monthly maintenance and also, from time to time, break
down and have to be repaired.
All of the company's capital expenditures for fixed assets
(facilities, workstations, robotics upgrades, office equipment, and
furnishings) at the Taiwan plant site are depreciated over 25
years at the rate of 4% annually.
Transcribed Image Text:Which of the following statements about your company's assembly operations for cameras and drones is TRUE? It is standard practice for your company to pay for the capital costs of new workstations, facilities expansions, and robotics upgrades by reducing dividend payments to shareholders in the year the capital costs are incurred. The maximum number of cameras/drones that can be assembled at overtime is 20% of annual PAT productivity (the number of units a camera/drone PAT assembles each year)-- however, if robotics upgrades are undertaken, the maximum rises to 30% of annual PAT productivity. If the company decides to shift from manual assembly to robotics-assisted assembly for cameras and/or drones, ALL existing workstations in a camera or drone assembly facility must be upgraded to include the use of a robot and all workstations added thereafter in that facility must be robot-equipped. ○ Shifting to robot-assisted assembly results in added annual maintenance costs of $6,000 per workstation because robots require monthly maintenance and also, from time to time, break down and have to be repaired. All of the company's capital expenditures for fixed assets (facilities, workstations, robotics upgrades, office equipment, and furnishings) at the Taiwan plant site are depreciated over 25 years at the rate of 4% annually.
Unit sales of wearable, miniature action-capture cameras are reliably
projected to grow
4.5%-6.5% annually in North America during Years 6-10, slowing
to 2.5%-4.5% annually during Years 11-15.
faster in North America than in Europe-Africa during the entire
Year 6-Year 15 period
faster in the Asia-Pacific region than in Latin America during
both Years-6-10 and Years 11-15.
6-8% annually in Latin America in Years 6-10, slowing to 4-6%
annually during Years 11-15.
slower in North America and Latin America than in Europe-Africa
and the Asia-Pacific throughout Years 6-15.
Transcribed Image Text:Unit sales of wearable, miniature action-capture cameras are reliably projected to grow 4.5%-6.5% annually in North America during Years 6-10, slowing to 2.5%-4.5% annually during Years 11-15. faster in North America than in Europe-Africa during the entire Year 6-Year 15 period faster in the Asia-Pacific region than in Latin America during both Years-6-10 and Years 11-15. 6-8% annually in Latin America in Years 6-10, slowing to 4-6% annually during Years 11-15. slower in North America and Latin America than in Europe-Africa and the Asia-Pacific throughout Years 6-15.
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