OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
7th Edition
ISBN: 9781259326738
Author: SCHROEDER
Publisher: MCG
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Textbook Question
Chapter 14.S, Problem 4P
A producer of electronic parts wants to take account of both production rate and demand rate in deciding on its lot sizes. A particular $50 part can be produced at a rate of 1000 units per month, and the demand rate is 200 units per month. The firm uses a earning charge of 24 percent a year, and the setup cost is S200 each time the part is produced.
- a. What lot size should be produced?
- b. If the production rate is ignored, what would the lot size be? How much does this smaller lot size cost the firm 011 an annual basis?
- c. Draw a graph of on- hand inventory versus time.
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30) XYZ Company
The XYZ Company uses 175 handles per day. The company operates 300 days per year. It costs $2.00 to carry one handle in inventory for one year. When handle inventory is low, an order is sent to the fabrication department to manufacture more handles. Fabrication can produce handles at a rate of 1500 per day and send the handles over to assembly while production is in progress. The setup for each production run costs $500.
Assume the XYZ company orders 9,000 handles at a time (not necessarily the economic order quantity). The order receipt period = _____ days.
Group of answer choices
a) 6.0
b) 5.8
c) 30.0
d) 51.4
e) 50.0
When selling price is constant and variable costs increases per unit, what will be the effect to the break-even point in units?
Break-even units increases
Break-even units decreases
Break-even units remains the same
Break-even units approaches zero
Group of answer choices
1
2
3
4
A supplier provides parts to a manufacturing company that demands frequent deliveries. At the present time it takes six hours to make a round trip between the supplier’s warehouse and the customer, including loading, travel, and unloading time. The lot size is 12 pallet loads on a truck, and the manufacturer uses 2 pallets per hour.a. How many trucks are needed to ship the pallets to the manufacturer?b. What is likely to happen if the truck breaks down?c. How can the supplier ensure that the customer does not run out of parts even in the face of delivery problems or other uncertainties?d. What will happen to the supplier if the manufacturer runs into trouble and shuts down for a period of six hours?
Chapter 14 Solutions
OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
Ch. 14.S - eXcel Suppose that for problem 1 in the chapter,...Ch. 14.S - Prob. 2PCh. 14.S - For problem 2 in the chapter, suppose the Grinell...Ch. 14.S - A producer of electronic parts wants to take...Ch. 14 - Identify the different types of inventories (raw...Ch. 14 - Why are stockout costs difficult to determine?...Ch. 14 - What is the difference between a requirements...Ch. 14 - Compare and contrast the management of finished...Ch. 14 - For a given service level, why does a P system...Ch. 14 - Under what circumstances might CPFR be useful, and...
Ch. 14 - Prob. 7DQCh. 14 - What is the appropriate role of inventory turnover...Ch. 14 - Suppose you are managing a chain of retail...Ch. 14 - The Always Fresh Grocery Store carries a...Ch. 14 - The Grinell Machine Shop makes a line of metal...Ch. 14 - The local Toyota dealer has to decide how many...Ch. 14 - Prob. 4PCh. 14 - The famous Widget Company sells widgets at the...Ch. 14 - Prob. 6PCh. 14 - Prob. 7PCh. 14 - An electronics retailer carries a particular...Ch. 14 - An electronics retailer carries a particular...Ch. 14 - The local Toyota dealer has to decide how many...Ch. 14 - The Suregrip Tire Company carries a certain type...Ch. 14 - The Suregrip Tire Company carries a certain type...Ch. 14 - eXcel 13. The Cover-up Drapery Company carries...Ch. 14 - Suppose you are the supplier of the Cover-up...
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