A company produces three products A, B, C. • For manufacturing three raw materials P, Q and R are used. Profit per unit o A - Rs. 5, B - Rs. 3, C - Rs. 4 Resource requirements/unit Raw Material Product A B P 20 Q 20 30 R 50
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- Problem 1 Dr. Song will go to McDonald's for dinner tonight. After studying operations research, he feels that he should at least be "smart" enough to figure out the way he eats it. Let's build a model to determine what to eat at McDonald's. QP AD BM FF MC FR SM 1M OJ Required Cost 3.79 4.49 3.99 3.79 1.29 1.79 1.19 1.00 1.89 Prot 28 24 25 14 31 3 15 1 55 VitA 15 15 6 8 4 10 2 100 VitC 10 2 15 15 4 120 100 Calc 30 20 25 15 15 20 30 2 100 Iron 20 20 20 10 8 15 100 Cals 510 370 500 370 400 220 345 110 80 2000 Carb 34 33 42 38 42 26 27 12 20 350 The tables gives the menu (Quarter Pounder, Angus Deluxe, etc.) along with their unit cost (in $) and amount of nutrients contained (Protain, Vitamin A, etc.) The last column of the table gives the daily required amount of nutrients suggested by Dr. Song's doctor. Suppose Dr. Song aims to minimize the cost of his dinner, while he wants to satisfy all the nutrient requirements. Formulate this problem as a linear programming model, and solve it in…14. Financial aspects apparently manages the proficient assignment of scant products. Where does shortage fit in the round stream model?Requirement Classify each of the cost items (a-h) into one of the business functions of the value chain. Cost Item Value Chain Business Function a. Utility costs for the plant assembling the Latitude computer line of products b. Distribution costs for shipping the Latitude line of products to a retail chain c. Payment to David Newbury Designs for design of the XPS 2-in-1 laptop d. Salary of computer scientist working on the next generation of servers e. Cost of Dell employees' visit to a major customer to demonstrate Dell's ability to interconnect with other computers f. Purchase of competitors' products for testing against potential Dell products g. Payment to business magazine for running Dell advertisements h. Cost of cartridges purchased from outside supplier to be used with Dell…
- Q7. The president of Rose Bowl Enterprises, Desmond Howard, projects the firms aggregate DEMAND requirements over the next 8 months as follows: These are the monthly DEMAND, not production. MONTH JAN FEB MAR APR MAY JUN JULY AUG DEMAND 1,400 1,600 1,800 1,800 2,200 2,200 1,800 1,800 PRODUCTION 1,600 from December INVENTORY 200 from Dec plus 200 His operations manager is considering a new plan, which begins in January with 200 units on hand. Stockout cost of lost sales is $100 per unit. Inventory holding cost is $20 per unit per month. Ignore any idle time costs. The plan is called plan A. Plan A: Vary the workforce level to execute a strategy that produces the quantity demanded in the prior month. The December demand was given as 1,600 units per month. Therefore, the production for JAN will be 1,600. However, only 1,400 are needed. Therefore, the extra 200 produced go into inventory and there is a holding cost for inventory. Also, per the above, you already have 200 units in inventory…Practice problem 3. Product Mix Decision o U-Develop makes metal and wood picture frames o The metal frames take 30 minutes of machine time/unit o The wood frames take 60 minutes of machine time/unit U-Develop Frame Department Price/unit Variable costs/unit: Direct materials Direct labor Variable MOH Contribution Margin Fixed costs: Fixed MOH Selling & admin. Total fixed costs Metal Frames $8 A 00 00 8 $50 20 $30 Wood Frames I $22 24 4 o Strategy if machine-hours (MH) are unlimited: ▪ How many metal frames? ▪ How many wood frames? Reason: o Strategy if machine-hours (MH) are limited: How many metal frames? ▪ How many wood frames? . Reason: $80 50 $30 $3,000 1,500 $4,500Q 6. For the following data, calculate the number of workers required for level production and the resulting month-end inventories. Each worker can produce 15 units per day, and the desired ending inventory is 9000 units. Month 1 3 4 Total Working Days 20 24 12 19 Forecast Demand 28,000 27,500 28,500 28,500 Planned Production Planned Inventory 11,250 [3+2] 2.
- 4. What is FIFO method? 5. what is Average cost method?Briefly define or explain each of these terms: e. Net requirementsSetting Product Availability under capacity constraints When capacity is constrained, where should the relatively higher fraction of capacity be used: the higher markgin product or lower margin product. Sweater High end Low end Mean 1000 2000 Why? St. Dev. 300 400 Cost $50 $40 Selling Price $150 $100 Salvage Value $35 $25 Cu C_o CSL Q* Actual Q Actual CSL Marg. Cont.
- 2.17 For the following data, calculate the number of workers required for level production and the resulting month-end inventories. Each worker can produce 14 units per day, and the desired ending inventory is 9000 units. Month Working Days Forecast Demand Planned Production Planned Inventory 11,500 1 2 3 4 Total 20 24 12 19 28,000 27,500 28,500 28,500SHARE OF REQUIREMENTS. Kinetic Canes has customer and sales data from the Canadian market. The data provide information on customers who bought a cane from Kinetic at least once and on customers who bought ANY brand in the marketplace (including Kinetic) at least once. So the last column includes ALL buyers of ANY brand. The data show: Buyers who bought from Kinetic Buyers who bought ANY brand at least once at least once Spent on canes from KINETIC $26.7 million $26.7 million Spent on OTHER brand canes (NOT Kinetic) $49.8 million $151.2 million Number of buyers 0.9 million 8.0 million What was Kinetic's SHARE OF REQUIREMENTS in the Canadian market during this period? Report your answer as a percent. (Rounding: tenth of a percent.)Name the 4P’s?