Operations Management: Processes and Supply Chains (11th Edition)
11th Edition
ISBN: 9780133872132
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter D, Problem 15P
A
Summary Introduction
Interpretation:The number of cans of each type of product that should be produced to maximize the revenue should be calculated.
Concept Introduction: The company produces three types of units that contain − Walnuts, Almonds and Peanuts. The current stock of nuts the company holding is 350 pounds of Almonds, 150 pounds of Walnuts and 1000 pounds of Peanuts.
B
Summary Introduction
Interpretation:The changes seen if the company is interested in maximizing its contribution margin should be concluded.
Concept Introduction: The company produces three types of units that contain − Walnuts, Almonds and Peanuts. The current stock of nuts the company holding is 350 pounds of Almonds, 150 pounds of Walnuts and 1000 pounds of Peanuts.
C
Summary Introduction
Interpretation:The change seen in the production level, if there are 50 additional pounds of Walnuts are available should be concluded.
Concept Introduction: The company produces three types of units that contain − Walnuts, Almonds and Peanuts. The current stock of nuts the company holding is 350 pounds of Almonds, 150 pounds of Walnuts and 1000 pounds of Peanuts.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Digital Controls, Inc. (DCI), manufactures two models of a radar gun used by police to monitor the speed of automobiles. Model A has an accuracy of plus or minus 1 mile per hour, whereas the smaller model B has an
accuracy of plus or minus
miles per hour.
For the next week, the company has orders for 100 units of model A and 150 units of model B. Although DCI purchases all the electronic components used in both models, the plastic cases for both models are
manufactured at a DCI plant in Newark, New Jersey. Each model A case requires 4 minutes of injection-molding time and 6 minutes of assembly time. Each model B case requires 3 minutes of injection-molding time and
8 minutes of assembly time. For next week, the Newark plant has 600 minutes of injection-molding time available and 1,080 minutes of assembly time available. The manufacturing cost is $10 per case for model A and $6
per case for model B. Depending upon demand and the time available at the Newark plant, DCI occasionally…
Casting molds are produced by MYMOLD company. Each order has unique specifications, depending on customer needs. MYMOLD has received an order of two molds from a customer. The agreed selling price of the molds is 5000TL per mold. According to the agreement, for a defective mold the customer will pay 1000TL instead of the standard price. The customer will not buy any more than two molds and there is a 2000 TL fine for not meeting the demand with two non-defective molds. The excess molds can be salvaged for 500 TL per piece. The cost of production per mold is 2000TL and the probability of producing a non-defective mold is 0.8. Assume that MYMOLD decided to produce two molds, and the first production has been succesfull (a non-defective mold is produced). What is the expected profit given the result of the first production?
Bimala is interested in buying a new house and has found a house she likes in Surry Hills. Bimala comes to you for advice about which of the following items would pass to her automatically if she buys the house:
• A plastic bird bath which rest on the ground in the back garden;
• A concrete swimming pool in the back garden;
• A tapestry attached by small tapestry nails to the wall of the living room; and
• A barbecue on wheels on the back deck.
Advise Bimala. In your advice, please ensure that you refer to relevant case law.
*NOTE: This is business law question. can you write more details about the question and answer.
Chapter D Solutions
Operations Management: Processes and Supply Chains (11th Edition)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- Mpho is an avid seamstress and want to sew and sell high quality, reusable designer face masks during the current Covid-19 pandemic. She will design and sew the masks herself and use her automatic embroidery machine to put her logo on each mask sold. With the help of her son, deliveries will be made all over Gauteng within 3 days of placing the order. Every mask will have a unique three-layer design with adjustable straps to ensure comfort and it. Mpho’s only expenseis the material needed to sew the masks and delivery costs. At this stage, Mpho’starget market is limited to Gauteng. Draw a diagram to illustrate the transformation process of Mpho’s new business. Be sure to include all relevant elements, headings and arrows to indicate the flow of products/ services. Question: 1. Draw a diagram to illustrate the transformation process of Mpho’s new business. Be sure to include all relevant elements, headings and arrows to indicate the flow of products/ services.arrow_forwardThe Marketing Manager of Dotcom Limited has conducted a market research on the price-demand relationship for its consumer durable Product-V which has been recently launched. The price-demand pattern will be as follows: Price per unit (Rs.) 16.650 16.050 14.400 13.050 Product-V is manufactured in batches of 1.000 units. The production manager of Dotcom Limited has also researched and studies the pattern and believes that 50% of the variable manufacturing cost would have a learning effect. This learning curve effect will continue up to 4.000 units of production at constant rate But after 4.000 units of production unit variable manufacturing cost would be equal to the unit cost at the 4 batch. The manufacturing unit cost of the first batch will be Rs. 6.600 of which only 50% is subjected to learning and experience curve effect. The average unit variable of all 4 batches will be Rs 6.180 The price and maximum contribution at which Dotcom Limited should sell Product-V is: Rs.14,400, Rs.…arrow_forward5. Meg Jones, the CEO of Ajax Computer Company, and Brad Smith, its Director of Operations, had been discussing how to increase the firm’s production of the company’s flagship XR58. The XR58 was particularly important because it sold 12,500 of them in the most recent year for $950, at a gross margin of 55%. After a lot of discussion, they decided to pursue an incentive system designed to increase production by 12% in the next year. After Brad discussed this possible incentive with the production team, the team determined that it could increase production by this amount without adding any more people or equipment. They believed they could accomplish this improvement primarily through process redesign. To incent them to do the hard work of process improvement, Brad told the team that it would receive 25% of the increased profits if it met the new production goal. For this team of 20 people, this would mean an additional compensation of _________ for each team member, on average, for…arrow_forward
- Product D is stocked only at the AMC Chemical Company's Dallas warehouse and at the company's plant warehouse in Akron. The sales director has forecast product sales from the Dallas warehouse to be 40 units per week for the next 8 weeks. Product D is manufactured at the firm's Akron plant using 2 units of ingredient X per unit of product D. Suppose product D's actual sales at the Dallas warehouse in week 2 were 31 units. Again, all planned shipments/orders were released and expedite actions taken. What action would the master scheduler take on the basis of this information? In this situation, what modifications to the master production schedule might be taken? (4 points) Information: Ingredient X Projected available balance: 4 Units Safety stock quantity: 2 units Product D in Dallas Warehouse Product D in Plant Projected available balance: 85 Units Safety stock quantity: 5 units Lead time: 2 weeks Warehouse Projected available balance: 42 Units Safety stock quantity: 2 units Lead time:…arrow_forwardMpho is an avid seamstress and want to sew and sell high quality, reusable, designer face masks during the current Covid-19 pandemic. She will design and sew the masks herself and use her automatic embroidery machine to put her logo on each mask sold. With the help of her son, deliveries will be made all over Gauteng within 3 days of placing the order. Every mask will have a unique three-layer design with adjustable straps to ensure comfort and fit. Mpho’s only expense is the material needed to sew the masks and delivery costs. At this stage, Mpho’s target market is limited to Gauteng. Question: Create a diagram to illustrate the transformation process of Mpho’s new business. Be sure to include all relevant elements, headings and arrows to indicate the flowof products/ services. What should be in the diagram: outputs, inputs, feedback, transformation process and flow of product and service ect.arrow_forwardPlease show formula and solution There are approximately 15,000 households in the Sampaloc, Manila. Over the 6-month lockdown, a number of households purchased one (1) unit of air conditioner. The breakdown of the brands purchased is as follows: Super Lamig - 4,688 households Frozen to Death - 1,456 households Feeling Airy - 2,355 households Typhoon - 3,899 households Based on the above data, what is the market penetration of air conditioning units in Sampaloc, Manila during the 6-month lockdown period?arrow_forward
- See image for question details.arrow_forwardLPM Corp. produces and sells two types of frozen burgers, Turkey Burgers and Veggie Burgers. In the most recent month, the firm sold 12,000 Turkey Burgers and 8,000 Veggie Burgers. Turkey Burgers sold for $14.00 per box and variable costs were $7.40 per box. The Veggie Burgers sold for $16.00 per box and variable costs were $8.25 per box. The fixed expenses of the entire company were $41,160. If the sales mix were to shift toward the Turkey Burgers product line with total sales volume remaining constant at 20,000, the overall break-even point for the entire company:arrow_forwardThe Tinkan Company produces one-pound cans for the Canadian salmon industry. Each year the salmon spawn during a 24-hour period and must be canned immediately. Tinkan has the following agreement with the salmon industry. The company can deliver as many cans as it chooses. Then the salmon are caught. For each can by which Tinkan falls short of the salmon industrys needs, the company pays the industry a 2 penalty. Cans cost Tinkan 1 to produce and are sold by Tinkan for 2 per can. If any cans are left over, they are returned to Tinkan and the company reimburses the industry 2 for each extra can. These extra cans are put in storage for next year. Each year a can is held in storage, a carrying cost equal to 20% of the cans production cost is incurred. It is well known that the number of salmon harvested during a year is strongly related to the number of salmon harvested the previous year. In fact, using past data, Tinkan estimates that the harvest size in year t, Ht (measured in the number of cans required), is related to the harvest size in the previous year, Ht1, by the equation Ht = Ht1et where et is normally distributed with mean 1.02 and standard deviation 0.10. Tinkan plans to use the following production strategy. For some value of x, it produces enough cans at the beginning of year t to bring its inventory up to x+Ht, where Ht is the predicted harvest size in year t. Then it delivers these cans to the salmon industry. For example, if it uses x = 100,000, the predicted harvest size is 500,000 cans, and 80,000 cans are already in inventory, then Tinkan produces and delivers 520,000 cans. Given that the harvest size for the previous year was 550,000 cans, use simulation to help Tinkan develop a production strategy that maximizes its expected profit over the next 20 years. Assume that the company begins year 1 with an initial inventory of 300,000 cans.arrow_forward
- Efua Babyson (not a real name) completed Fashion Design Programme at a Technical University in Takoradi. Efua decided to join a dress-making group to gain experience for her career. In the course of her internship, Efua has observed that there are always a lot of beautiful pieces of leftover clothes that go waste thereby requiring the shop to spend money to dispose them. She is then thinking of designing fashioned carrier bags with the leftover clothes. Efua needs ideas on what factors to consider in decide to go or not go for the development of the conceived business idea. (a) Discuss four key things to consider in deciding to pursue or not the conceived business idea?arrow_forwardSuppose a car you want to buy has five choices for interior colors, three types of radios, three engine choices, two battery types (regular and heavy-duty), 10 exterior colors, two transmission choices, and four types of wheel covers. How many possible combinations of there are possible for the manufacturer? What can be done to limit the number of combinations without limiting customer choice?arrow_forwardShoes Ltd. manufactures three items: Sneakers, Takkies and Sandals. The table below contains information regarding these products: Sneakers (R/ unit) Takkies (R/ unit) Sandals (R/ unit) Material cost 60 75 40 Labour cost 24 68 42 Variable overhead cost 7 12 16 Fixed overhead cost 36 23 11 Selling price per unit 870 990 650 Volume of production 12 000 28 500 31 200 Fixed overheads are allocated to products based on direct labour hours. Direct labour hours are constrained and therefore limited to 140 000 hours. The direct labour rate is R25 per hour. w Required: Q.3.1 Calculate the contribution margin per labour hour and then rank the products in order of profitability. Q.3.2 Calculate the number of units of each product that needs to be manufactured toarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,