A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor at $9 each or to produce them in-house. Either of two processes could be used for in-house production; Process A would have an annual fixed cost of $205,000 and a variable cost of $7 per unit, and Process B would have an annual fixed cost of $160,000 and a variable cost of $8 per unit. Determine the range of annual volume for which each of the alternatives would be best. (Round your first answer to the nearest whole number. Include the indifference value itself in this answer.)
Q: -true&idCourse%=D108358&idUnit-0&idLessan-D1222409&page-18idWebuser 43485708edSection 15653 gives an...
A: Flex time or Flexible time is the work arrangement that allows the employees to choose the start and...
Q: 3. The marketing group for a cell phone manufacturer plans to conduct a telephone survey to determin...
A: Let, D = Number of daytime calls to be made E = Number of evening calls to be made The cost to make ...
Q: Identify & discuss the pros and cons of having a bargaining department in the basemen
A: The name comes since a segment of a department store, typically at the floor or basement Level wher...
Q: How does Materials Management System (MMS) (named StockBox) work in relation to managing the materia...
A: A material Management system- is a comprehensive solution to manage the day-to-day operation of the ...
Q: Organisations compete in a variety of ways, one of which is technical innovation. However, there are...
A: To be determined: Organizations compete in a variety of ways, one of which is technical innovation. ...
Q: 24. Each of the processes listed is non-centered with respect to the specifications for that process...
A: Given-
Q: employees are paid based on the number of items that are produced
A: work measurement and payment selection model helps to identify the employee payment method based on ...
Q: In zuman Inc. The expected activity time is 7 weeks, whereas the optimistic time is 12 weeks and mos...
A: The expected time is the time of the project that the company expects to complete in a particular ti...
Q: A supermarket is looking to implement a decision support system, however management remains unconvi...
A: As per Bartleby's guidelines, we only answer the first question in case multiple unrelated questions...
Q: Kamauf Custom Glass, Inc., manufactures custom windows primarily for homes and churches. Small repai...
A: Given-
Q: 1. Describe how the inventory system (Two Bin Supply System) works. 2. What are the technologies u...
A: Inventory replenishment is described as the process of replenishing stocks. The process explicitly r...
Q: In zuman Inc. The expected activity time is 7 weeks, whereas the optimistic time is 12 weeks and mos...
A: Find the Given details below: Given details: Expected activity time (Duration) 7 weeks Optimi...
Q: The success of a project hinges on having the right human resources to carry out the project work. L...
A: One of the finest ways to advance knowledge & expertise is to acquire charge of a project squad....
Q: The meanings assigned to activities may be shared but may also be complete.
A: Shared Activities imply: those explicitly distinguished activities shared between the gatherings and...
Q: i
A: A productivity measure is expressed as the ratio of output to inputs used in a production process. I...
Q: Management has decided to cut down 3 seconds from each operation (operation 1 - 8) to improve overal...
A:
Q: policy or mechanism could solve any informational imbalances
A: An EVPI (expected value of perfect information) is the difference between actual highest return and ...
Q: An effectively formulated operation strategy is critical to the success of a business, agree or disa...
A: An operations strategy is a set of judgments an organization makes about the production and delivery...
Q: Analyse and explain ONE key risk the company faced when Sushiro operates overseas.
A: Overseas operation or International business involves many risks . Mainly the overseas business is ...
Q: APPLIED STEEL CASE STUDY OPERATIONS MANAGEMENT CASE STUDY QUESTIONS: Evaluate Applied Steel’s sit...
A: According to the contextual analysis looking at the present situation, the standard-issue that stick...
Q: What is the difference between the Simple Moving Average method and the Weighted Moving Average meth...
A: Forecasting is the process of estimating the future demand with the help of previous year's or month...
Q: What can be done to lower turnover in large restaurants?
A: The term turnover or employee turnover can be understood as the total number of employees which leav...
Q: Quarterly sales have a trend given by Y = 30,000t + 10,000, where Y is sales in pesos and t is the t...
A: A trend shows the increase or decrease in values of data collected during long-term periods. A seas...
Q: The Maitland Furniture store gets an average of 50 customers per shift. The manager of Maitland want...
A: Queuing models are also known as waiting for line models. It is a study of waiting lines. A. basic q...
Q: Software upgrade times (in minutes) are being evaluated. Samples of five observations each have been...
A:
Q: A local travel agent is planning a charter trip to a major sea resort. The eight days/seven nights p...
A: Given, Tour Plan Price (Rs) Hotel costs (Rs) Meals and Other expenses (Rs) Deluxe 10...
Q: Describe the relationship among the firms strategic competitive dimensions and the design of the man...
A: To describe: The relationship among the firms strategic competitive dimensions and the design of the...
Q: Brown's, a local bakery, is worried about increased costs particularly energy. Last year's records c...
A:
Q: 2.11. Only the optimistic time is known i.e. 4 days, find the pessimistic time and the most like tim...
A:
Q: If the annual demand of gear is 24000 units, replenishment cost is Rs 20 and the cost of holding a u...
A:
Q: Given the following demand for waiters and waitressesat S. Ghosh Bar and Gri ll, determine the minim...
A: A day off is a day when any person doeses not do work, even there is usually a working day.
Q: 15. A study reveals that a group of three semi automatic machines assigned to one operator operated ...
A: From the given question, the following information can be derived. 1. Operator service time is at an...
Q: Define Lean operations
A: A lean industry or company has the knowledge of customer value and centralizes or focuses its key ap...
Q: the process of the line must also increase by 10 minutes. True or
A: Bottleneck station indicating the station with lowest production capacity which reduces the total ou...
Q: Consider the following linear program: Мax 5A + 2B s.t. 1A - 2B <400 2A + 3B <610 6A - 1B<125 А, В 2...
A: Standard form is a particular form where all the constraints of linear program equation and all vari...
Q: The success of a project hinges on having the right human resources to carry out the project work. L...
A: Human resource managers are in charge of planning, directing, and coordinating the administrative ac...
Q: Assume that a system is composed of two independent and identical units in parallel and at least one...
A: The detailed solution is given in Step 2.
Q: My question is why is it important for professionals to understand technical and recurring problems?
A: It is consoling in tasks when the probability of an adverse occasion happening is limited. In realit...
Q: 4. Vacation Inns is a chain of hotels operating in the southwestern part of the United States. The c...
A: Given- Arrival rate λ = 1260 min= 0.2 per minute Service rate μ = 13= 0.33 per minute
Q: 1. What are the elements that you will consider while conducting STEEP analysis for a pharmaceutical...
A: One of the key industries, as well as one of the largest, is pharmaceuticals. It has existed for mil...
Q: Seatwork No. 2 1. Monohan Machinery specializes in developing weed harvesting equipment that is used...
A: A network diagram refers to a diagram of project that is represented in graphical form and is compos...
Q: In zuman Inc. The expected activity time is 7 weeks, whereas the optimistic time is 12 weeks and mos...
A:
Q: Clinic administrator Dana Schniederjans wants you to forecast patient numbers at the clinic for week...
A: Forecasting is a process that uses recorded data as inputs to make informed estimates that are predi...
Q: An Alabama lumberyard has four jobs on order, as shown in the fo llowing table. To...
A: Ranking of the job sequence, as per different rules can be determined as follows:
Q: Red and White Pizza Pies, Inc. makes pizza pies in two (2) flavors, regular and white pizza. Each pi...
A:
Q: A bed mart company is in the business of manufacturing beds and pillows. The company has 40 hours fo...
A: Given data is Available assembly hours = 40 Available finishing hours = 32 Assembly hours required f...
Q: Describe the process of developing generic products and how it might alter the technology-driven pro...
A: To be determined: Define the process of developing generic products and how it alters the technology...
Q: Identify and illustrate the many choices you may have in operationalizing variables.
A: Operational variables (also known as operationalizing definitions) refer to how you define and quant...
Q: One hears the word research being mentioned by several groups such as research organizations, colleg...
A: Between the aforementioned groups of individuals which conduct "scientific" investigations in elemen...
Q: Identify how to set up key primary and secondary supply chain activities?
A: The supply chain encompasses all of the actions, people, organisations, information, and resources r...
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 3 images
- Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. Ethical decisions that affect a buyers ethical perspective usually involve the organizational environment, cultural environment, personal environment, and industry environment. Analyze this scenario using these four variables.
- Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What should Sharon do in this situation?Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What does the Institute of Supply Management code of ethics say about financial conflicts of interest?The 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.
- A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor at $7 each or to produce them in-house. Either of two processes could be used for in-house production; Process A would have an annual fixed cost of $160,000 and a variable cost of $5 per unit, and Process B would have an annual fixed cost of $190,000 and a variable cost of $4 per unit. Determine the range of annual volume for which each of the alternatives would be best.A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor at $7 each or to produce them in-house. Either of two processes could be used for in-house production; one would have an annual fixed cost of $160,000 and a variable cost of $5 per unit, and the other would have an annual fixed costof $190,000 and a variable cost of $4 per unit. Determine the range of annual volume for which each of the alternatives would be best.Danna Lumus, the marketing manager for a division that produces a variety of paper products, is considering the divisional manager’s request for a sales forecast for a new line of paper napkins. The divisional manager has been gathering data so that he can choose between two different production processes. The first process would have a variable cost of $10 per case produced and total fixed cost of $100,000. The second process would have a variable cost of $6 per case and total fixed cost of $200,000. The selling price would be $30 per case. Danna had just completed a marketing analysis that projects annual sales of 30,000 cases. Danna is reluctant to report the 30,000 forecast to the divisional manager. She knows that the first process would be labor intensive, whereas the second would be largely automated with little labor and no requirement for an additional production supervisor. If the first process is chosen, Jerry Johnson, a good friend, will be appointed as the line supervisor.…
- Tribal Systems, Inc., is opening a new plant and has yet todecide on the type of process to employ. A labor-intensiveprocess would cost $10,000 for tools and equipment and $14 for labor and materials per item produced. A more au-tomated process costs $50,000 in plant and equipment but has a labor/material cost of $8 per item produced. A fullyautomated process costs $300,000 for plant and equipmentand $2 per item produced. If process selection were basedsolely on lowest cost, for what range of production wouldeach process be chosen?Danna Lumus, the marketing manager for a division that produces a variety of paper products, is considering the divisional manager’s request for a sales forecast for a new line of paper napkins. The divisional manager has been gathering data so that he can choose between two different production processes. The first process would have a variable cost of $10 per case produced and total fixed cost of $100,000. The second process would have a variable cost of $6 per case and total fixed cost of $200,000. The selling price would be $30 per case. Danna had just completed a marketing analysis that projects annual sales of 30,000 cases. Danna is reluctant to report the 30,000 forecast to the divisional manager. She knows that the first process would be labor intensive, whereas the second would be largely automated with little labor and no requirement for an additional production supervisor. If the first process is chosen, Jerry Johnson, a good friend, will be appointed as the line supervisor.…a) For an upcoming red carpet evening, a company is selling tickets at $60 per person at a large theatre which has a capacity of 10,000 people. Each attendant is expected to buy $12 of food and merchandise at the film evening. The cost of providing the food and merchandise is estimated to be $5 per person. All other ancillary services will be provided by the theatre. Initial analysis indicates that the ancillary cost of providing food and merchandise, as well as the staff needed to handle ticket sales, may be described as a semi-variable cost. Data on these costs and tickets sold from three similar events held at the venue have been collected and are tabulated below: Tickets Sold Cost ($) 2100 6640 3824 11284 4650 13525 Use the high-low method to estimate the total cost function relating to these ancillary costs. b) The company will be renting the theatre which will host the upcoming red carpet evening. The budgeted fixed cost of both renting the theatre and paying the…