4. C&A uses two steps to make a toy. Step 1 takes 20 seconds.Step 2 takes 15 seconds. Each step is staffed by one worker,for a total of two workers. Each worker is paid $15 per hour.Each toy is sold for $20. Material costs are $5 per toy andfixed costs are $500 per hour. Assume demand is unlimited.Answer the following questions.a. How much profit does C&A make per hour?b. What will be the impact on C&A's profit per hour if theprocessing time of step 2 is reduced to 10 seconds?c. Demand rate is 120 toys per hour. How much profit doesC&A make per hour? Assume the worker's pay is a variablecost.5. You are a manager of CircuitTown, which sells Xbox2010. Thedemand for Xbox2010 in the holiday season is 200 units withprobability 0.8 and 400 units with probability 0.2. You have totake an order from MSFT in advance. You can either purchase200 units or 400 units. The purchase price is $150 per unitand the retail price is $300 per unit. After the holiday, youdump unsold units to leftover.com with a price of $50 perunit. Build a decision tree and decide how many units youwant to order.

A Bottleneck process can be identified by choosing the lowest capacity indicating process.…

Answered: 4. C&A uses two steps to make a toy.…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

See similar textbooks

Similar questions

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold for $20. Material costs are $5 per toy and fixed costs are $500 per hour. Assume demand is unlimited. Answer the following questions.a. How much profit does C&A make per hour?b. What will be the impact on C&A’s profit per hour if the processing time of step 2 is reduced to 10 seconds?c. Demand rate is 120 toys per hour. How much profit does C&A make per hour? Assume the worker's pay is a variable cost.
ABC made upgrades to the production process and achieved a 25% increase in production with less raw material. At the same time, however, an additional employee had to be hired. Under the old process, 5 employees could produce 60 pieces per hour at a cost of $16/piece of raw material. With the new process, the cost of the raw material has been reduced to $10 per piece. The direct labor cost is $12/hour per person and overhead is calculated at 1.6 times the direct labor cost. The finished products are sold at a price of $31 each. Calculate the increase in productivity that has occurred by improving the production process.
A coffee shop takes two steps to make a cup of coffee. Step 1 takes 30 seconds. Step 2 takes 20 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $20 per hour. Assume wages are a variable cost. Each coffee is sold for $10. Material costs are $3 per cup. Fixed costs are $200 per hour. Assume demand is unlimited. How much profit does the coffee shop make per hour? a $500 b $600 c $700 d $800
1. Rapid-Lube provides oil changes and lubes. The estimated number of oil changes for April and May are 3,600 and 4,000. Each oil change takes 12 minutes of direct labor. The wage rate is $10 per hour. Overhead is $3,700 per month and $2 per oil change. Budgeted overhead for May is $__________________. Budgeted overhead for April is $__________________. Budgeted direct labor for May is $__________________. Budgeted direct labor for April is $__________________. 2. You have decided to throw a party next weekend for 20 friends. The friends are going to bring health food, so all you have to have available are the drinks. You estimate that, on average, each person will drink four bottles of soft drinks. Three of your friends will drink only natural soda without unneeded color  so Sulo Ginger Ale should work well for them. For the others, you decide to buy Sulo Cola. Before going online, you check the refrigerator  you already have six bottles of Sulo Ginger Ale and 14 of Sulo Cola.…
. A process makes two products, A and B, and operates 5 days per week, 7 hours per day.Demand for the two products for the next week is as follows:Day 1: A: 3; B: 5Day 2: A: 2; B: 6Day 3: A: 4; B: 7Day 4: A: 2; B: 5Day 5: A: 3; B: 5What is the takt time of the process? What would a level production schedule look like?
Please to use 450 as daily output desired and 560 minutes as total time available per day for question b in scenario below Mr. John produces a special type of shoes on an assembly line. The process involves eight different tasks. Mr. John would like to increase productivity on this line and asked you for some assistance. He would like to balance the assembly line in order to reduce idle time and increase efficiency.a. What information would you need in order to demonstrate to Mr. John how to balance the assembly line? b. Setup an example that will be used to demonstrate to Mr. John how to balance the line. c. Using the example that you setup in “b” above, demonstrate to Mr. John how to balance the line using the LOT heuristics. d. Based on the example above, calculate the efficiency of the line.
A novelty coffee mug manufacturer produces 5 different designs that are sold at tourist information kiosks. The demand requirements for the com- 3. ing tourist season is as follows: Design Demand (units) 500 750 600 800 450 A B C DE The mugs can all be produced in the same workstations, but require different processing and setup times. The production information is in the following table: Design Batch Size (units) C D 50 50 50 50 50 Setup Time (hr/batch) Processing Time (hr/unit) 0.15 0.15 0.25 0.25 0.10 2.5 4 1.5 The company wants to produce all the required mugs in one four-week pe- riod. It currently operates workstations that work 8 hours per day, 5 days per week, with a capacity cushion of 20%. (a) Calculate the total time required to produce the mugs to meet the ex- pected demand.
Required: 1. Compute the throughput time. (Round your answer to 1 decimal place.) 2. Compute the manufacturing cycle efficiency (MCE) for the quarter. (Round your percentage answer to nearest whole percent.) 3. What percentage of the throughput time was spent in non–value-added activities? (Round your percentage answer to nearest whole percent.) 4. Compute the delivery cycle time. (Round your intermediate calculations and final answer to 1 decimal place.) 5. If by using Lean Production all queue time during production is eliminated, what will be the new MCE? (Do not round intermediate calculations. Round your percentage answer to 1 decimal place.)
“HRP is a double-edged weapon. If used properly, it leads not only to proper utilization, but also reduces excessive labor turnover and high absenteeism, and improves productivity”. Explain this statement with suitable example.
Which of the following statements are correct about services and service design? Select ALL which are true. 1) Services can be more easily automated and transported than products. ) 2) The service delivery system should be designed primarily around the employees in the system. ) 3) Low-contact services can usually be made more efficient than high-contact services. 4) A service is produced and consumed simultaneously (at the same time).
No hand writting PLZ Q1: What is a Business Process? Explain how business processes can be measured? Q2: What is the Cycle time ? and explain the three different ways of computing the Cycle time.
A company has introduced a process improvement that reduces processing time for each unit, so that output is increased by 20% with less material, but one additional worker required. Under the old process, five workers could produce 55 units per hour. Labor costs are $13/hour, and material input was previously $15/unit. For the new process, material is now $10/unit. Overhead is charged at 1.6 times direct labor cost. Finished units sell for $31 each. What increase in productivity is associated with the process improvement?

SEE MORE QUESTIONS

Recommended textbooks for you

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Business in Action

Operations Management

ISBN:

9780135198100

Author:

BOVEE

Publisher:

PEARSON CO

Purchasing and Supply Chain Management

Operations Management

ISBN:

9781285869681

Author:

Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:

Cengage Learning

Production and Operations Analysis, Seventh Editi…

Operations Management

ISBN:

9781478623069

Author:

Steven Nahmias, Tava Lennon Olsen

Publisher:

Waveland Press, Inc.

SEE MORE TEXTBOOKS