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Question
Scenario C.1
Jerry Allison is in charge of production for a small producer of plumbing supplies. The cricket model has an estimated annual demand of 12,000 units and can be produced at a production rate of 90 units per day. The company produces (and sells) the cricket 300 days per year. Setup cost to produce this model averages $22 and the item has a holding cost of $3 per unit per year.
Use the information in Scenario C.1. If Jerry chooses to produce the batch size suggested by the economic production lot size (ELS) model, what is the annual cost?
A) less than or equal to $900
B) greater than $900 but less than or equal to $950
C) greater than $950 but less than or equal to $1,000
D) greater than $1,000
Answer
This answer is hidden. It contains 76 characters.
Related questions
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Q:
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Q:
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Q:
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Q:
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Q:
Construct a 3-sigma and R-chart for the length in centimeters of a part from the following table. Sample #
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Observation 2
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0.499
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Q:
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LABOR
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1 hr
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.25
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Q:
Consider this list of jobs that have just arrived and are ready for processing. They all require processing first on machine 1 and then on machine 2. Both machines are now idle. Develop a schedule that minimizes makespan and calculate this makespan time. Now assume that each job can be split into two jobs, each having half the duration on both machine 1 and machine 2. Using the original sequence that minimized average flow time, calculate the flow times for all split jobs What is the effect of this new schedule on the average flow time for these split jobs? Job
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Machine 2 1
14
6 2
11
12 3
16
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12
8 5
22
9 6
13
15 7
10
12 8
8
13