Operations Management
13th Edition
ISBN: 9781259667473
Author: William J Stevenson
Publisher: McGraw-Hill Education
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Question
Chapter 5.S, Problem 14P
a)
Summary Introduction
To determine: The minimum expected cost
Introduction: Expected monetary value is an anticipated value for an investment. The excepted monetary value is computed by multiplying every possible outcome by likelihood of each outcome will occur and summing the all values. Investors use expected monetary values to select the scenario that provides a desired outcome.
b.
Summary Introduction
To draw: A decision tree.
c.
Summary Introduction
To determine: The expected value of perfect information.
Expected value of perfect information (EVPI): It is the rate that a person is willing to pay to gain access to perfect information. A common area which uses expected value of perfect information is the healthcare economy. This value tries to evaluate the expected cost of the uncertainty, which can be interpreted as the expected value of perfect information.
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For the purpose of process analysis, which of the following measures would be considered an appropriate flow unit for analyzing the main operation of a local accounting firm? Instructions: You may select more than one answer.
a. Number of accountants working each week
b. Number of tax returns completed each week
c. Number of customers with past-due invoices
d. Number of reams of paper received from suppliers
4. Based on the data provided in Table 2.5, what is the flow rate of callers from 8:00 a.m. to 8:20 a.m.?
TABLE 2.5 Time Stamps of the Eight Callers Who Called from 8:00 a.m. to 8:20 a.m. to the Reservation Desk of a Ferry Service
Caller
Time In
Time Out
1
8:01
8:05
2
3
4
5
6
8:02
8:07
8:06
8:08
8:09
8:12
8:10
8:15
8:12
8:20
7
8:16
8:19
8
8:17
8:19
5. Based on the data provided in Table 2.5, what is the flow time of callers from 8:00 a.m. to 8:20 a.m.?
6. Based on the data provided in Table 2.6, what is the flow rate of customers from 9:00 a.m. to 10:00 a.m.?
TABLE 2.6 Time Stamps of 10 Customers Who Visited a Local Bank Branch from 9:00 a.m. to 10:00 a.m.
Customer
1
2
3
4
5
6
7
8
9
10
Time In
Time Out
9:01
9:07
9:06
9:21
9:08
9:20
9:14
9:19
9:20
9:28
9:26
9:33
9:31
9:39
9:40
9:46
9:44
9:59
9:53
9:57
7. Based on the data provided in Table 2.6, what is the flow time of customers from 9:00 a.m. to 10:00 a.m.?
Chapter 5 Solutions
Operations Management
Ch. 5.8 - Explain the meaning of the phrase Hours versus...Ch. 5.8 - Prob. 1.2RQCh. 5.8 - Prob. 1.3RQCh. 5.8 - Prob. 1.4RQCh. 5.8 - Prob. 1.5RQCh. 5.S - Prob. 1DRQCh. 5.S - Prob. 2DRQCh. 5.S - Explain the term bounded rationality.Ch. 5.S - Prob. 4DRQCh. 5.S - Prob. 5DRQ
Ch. 5.S - What information is contained in a payoff table?Ch. 5.S - Prob. 7DRQCh. 5.S - Prob. 8DRQCh. 5.S - Under what circumstances is expected monetary...Ch. 5.S - Explain or define each of these terms: a. Laplace...Ch. 5.S - Prob. 11DRQCh. 5.S - Prob. 12DRQCh. 5.S - Prob. 13DRQCh. 5.S - Prob. 1PCh. 5.S - Refer to problem1. Suppose after a certain amount...Ch. 5.S - Refer to Problems 1 and 2 Construct a graph that...Ch. 5.S - Prob. 4PCh. 5.S - Prob. 5PCh. 5.S - The lease of Theme Park, Inc., is about to expire....Ch. 5.S - Prob. 7PCh. 5.S - Prob. 8PCh. 5.S - Prob. 9PCh. 5.S - A manager must decide how many machines of a...Ch. 5.S - Prob. 11PCh. 5.S - Prob. 12PCh. 5.S - Prob. 13PCh. 5.S - Prob. 14PCh. 5.S - Give this payoff table: a. Determine the range of...Ch. 5.S - Prob. 16PCh. 5.S - Repeat all parts of problem 16, assuming the value...Ch. 5.S - Prob. 18PCh. 5 - Prob. 1DRQCh. 5 - Prob. 2DRQCh. 5 - How do long-term and short-term capacity...Ch. 5 - Give an example of a good and a service that...Ch. 5 - Give some example of building flexibility into...Ch. 5 - Why is it important to adopt a big-picture...Ch. 5 - What is meant by capacity in chunks, and why is...Ch. 5 - Prob. 8DRQCh. 5 - How can a systems approach to capacity planning be...Ch. 5 - Prob. 10DRQCh. 5 - Why is it important to match process capabilities...Ch. 5 - Briefly discuss how uncertainty affects capacity...Ch. 5 - Prob. 13DRQCh. 5 - Prob. 14DRQCh. 5 - Prob. 15DRQCh. 5 - Prob. 16DRQCh. 5 - What is the benefit to a business organization of...Ch. 5 - Prob. 1TSCh. 5 - Prob. 2TSCh. 5 - Prob. 3TSCh. 5 - Prob. 1CTECh. 5 - Prob. 2CTECh. 5 - Identify four potential unethical actions or...Ch. 5 - Any increase in efficiency also increases...Ch. 5 - Prob. 1PCh. 5 - In a job shop, effective capacity is only 50...Ch. 5 - A producer of pottery is considering the addition...Ch. 5 - A small firm intends to increase the capacity of a...Ch. 5 - A producer of felt-tip pens has received a...Ch. 5 - A real estate agent is considering changing her...Ch. 5 - A firm plans to begin production of a new small...Ch. 5 - A manager is trying to decide whether to purchase...Ch. 5 - A company manufactures a product using two machine...Ch. 5 - A company must decide which type of machine to...Ch. 5 - Prob. 11PCh. 5 - A manager must decide how many machines of a...Ch. 5 - Prob. 13PCh. 5 - The following diagram shows a four-step process...Ch. 5 - Prob. 15PCh. 5 - Prob. 16PCh. 5 - Prob. 17PCh. 5 - Prob. 18PCh. 5 - A new machine will cost 18,000, butt result it...Ch. 5 - Remodelling an office will cost 25,000 and will...Ch. 5 - Prob. 1CQCh. 5 - Prob. 2CQCh. 5 - Prob. 3CQ
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