Mylab Operations Management With Pearson Etext -- Access Card -- For Operations Management: Sustainability And Supply Chain Management (13th Edition)
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Chapter F, Problem 12P

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• F.14 Refer to the data in Solved Problem F.1, on page 791, which deals with Higgins Plumbing and Heating. Higgins has now collected 100 weeks of data and finds the following distribution for sales:

Chapter F, Problem 12P, Question:  F.14 Refer to the data in Solved Problem F.1, on page 791, which deals with Higgins

  1. a. Assuming that Higgins maintains a constant supply of 8 heaters, simulate the number of stockouts incurred over a 20-week period (using the seventh column of Table F.4).
  2. b. Conduct this 20-week simulation two more times and compare your answers with those in (a). Did they change significantly? Why or why not?
  3. c. What is the new expected number of sales per week?
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Question 4Consider a birth death model with birth rates in states n = 0, 1, . . . and death rates in states n = 1, 2, . . (a) Give the detailed balance conditions for the equilibrium probability of being in state n, for n = 0, 1, . . . and explain how they are derived. (b) Using the detailed balance conditions derive an expression and state any condition needed to ensure that the equilibrium distribution exists.  (c) i Now consider the M/M/1 queue with arrival rate λ and service rate µ and explain how it can be modelled as a birth death model. ii. For the M/M/1 queue derive the form of , the equilibrium distribution of the number of customers present, and give any conditions needed to ensure the existence of the equilibrium distribution. Derive the mean value of the equilibrium distribution
QUESTION 3a. Delightful Coffee Limited (DCLL) purchases coffee from Hopeful Harvest Plantations (HHP)in Santa Cruz, Trinidad. HHP sells coffee at four (4) different prices, depending on the size ofthe order, as shown in Table 3 (below):Table 3. Hopeful Harvest Plantations - Coffee pricesWeight of Coffee Price ($USD)Less than 45 kilograms $18 per kilogram45 to 449 kilograms $17 per kilogram,450 to 1000 kilograms $16 per kilogramMore than 1000 kilograms $15 per kilogramThe cost to place an order at DCLL is $50. Annual demand is 4,500 units. The holding (orcarrying) cost is 20 percent of the material price. (i) Calculate the EOQ at each Price Break and Indicate which EOQs are feasible and those which are not feasible. Please answer the above question
QUESTION 3a. Delightful Coffee Limited (DCLL) purchases coffee from Hopeful Harvest Plantations (HHP)in Santa Cruz, Trinidad. HHP sells coffee at four (4) different prices, depending on the size ofthe order, as shown in Table 3 (below):Table 3. Hopeful Harvest Plantations - Coffee pricesWeight of Coffee Price ($USD)Less than 45 kilograms $18 per kilogram45 to 449 kilograms $17 per kilogram,450 to 1000 kilograms $16 per kilogramMore than 1000 kilograms $15 per kilogramThe cost to place an order at DCLL is $50. Annual demand is 4,500 units. The holding (orcarrying) cost is 20 percent of the material price. (iii) What is the economic order quantity that DCLL should buy each time? Please answer the above question
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