Please answer the questions c. The manager of a car soft drinks facility wants to expand its operations in the coming year. He wants to builda new facility to do so. There are three possible locations for this facility. The fixed and variable costs involvedare given in the table below:-LocationsCostsABCFixed500,000600,000800,00020Variable4030i. Based on costs, over what range of units will location A be preferred?ii. Based on costs, over what range of units will location B be preferred?iii. Based on costs, over what range of units will location C be preferred?N.B. Show all working.

Answered: c. The manager of a car soft drinks…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter6: Optimization Models With Integer Variables

Section: Chapter Questions

Problem 100P

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The manager of a car soft drinks facility wants to expand its operations in the coming year. He wants to build a new facility to do so. There are three possible locations for this facility. The fixed and variable costs involved are given in the table below: Locations Costs A B C Fixed 500,000 600,000 800,000 Variable 40 30 20 i. Based on costs, over what range of units will location A be preferred?ii. Based on costs, over what range of units will location B be preferred?iii. Based on costs, over what range of units will location C be preferred?
b. An operations manager has narrowed down the search for a new King Kola plant to three locations. Fixed and variable costs follow. Location Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 6 8 10 14 16 18 20 0 (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.
Location Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 2 4 6 8 10 14 16 18 20 Q (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.
Sap Manufacturing, a manufacturing company that manufactures football jerseys and located in Port Antonio, Jamaica, is preparing to build a new plant. J’s is considering three potential locations that are suitable for the construction of the plant. The fixed and variable costs for the three alternative locations are presented in the table below. Costs A B C Fixed Costs ($) 700,000 1,000,000 1,100,000 Variable ($ per unit) 28 20 18 Identify the range over which each alternative (A, B and C) is best. A manufacturing firm is considering three potential locations for a new parts manufacturing facility. A consulting firm has assessed three sites based on the four factors supplied by management as critical to the location's success. The factor weights and the consultant team scores are given in table 5 below. Scores are based on 50 = best. Locations Factors Weights A B C Labor Climate 10 35 45 20 Taxes 30 30 40 40 Utilities 20 25 20…
Problem 8-9 (Static) Location Score Factor (100 points each) Weight A B Convenience 0.15 80 70 Parking facilities 0.20 72 76 Display area 0.18 88 90 90 Shopper traffic 0.27 94 86 Operating costs 0.10 98 90 Neighborhood 0.10 96 85 182820 C 60 92 80 82 75 1.00 Click here for the Excel Data File a. Using the above factor ratings, calculate the composite score for each location. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Location Composite Score A B 0
The university administration would like to add some additional parking locations. To make everyone happy, they would like each building to be within a 5 minute walk of one set of new parking spaces (the spaces will be added in blocks of 10 parking spaces). The university is considering six locations for the new parking spaces, but would like to minimize the overall cost of the project. In addition to the walking time requirement, the university would like to add at least 40 new parking spaces (at least 4 blocks of 10). To help with the decision, the management science department formulated the following linear programming model: Min 350x1 + 425x2 + 425x3+ 465x4 + 485x5 + 365x6 s.t. x1 + x2 + x5 + X6 2 1 (Residence Hall A constraint) x1 + x2 + X3 2 1 {Residence Hall B constraint) X4 + X5 + X6 2 1(Science building constraint) X1 + X4 + X5 2 1{Music building constraint} x2 + x3 + X4 2 1{Math building constraint} x3 + X4 + X5 2 1{Business building constraint} x2 + x5 + X6 2 1{Auditorium…
Q) A discount store chain wants to build a new superstore in an area in Melbourne near four small towns with populations between 10,000 and 40,000. The coordinates (in miles) of these four towns and the market population in each are as follows: Coordinates Carlton St Kilda Ballarat Frankston 12 18 30 32 20 12 8 25 Population 18,000 17,000 10,300 10,000 a) Determine the best site using the center-of-gravity technique. b) Suppose the store is limited to two possible sites for locating a new superstore. The coordinates (in miles) of these two potential sites are site 1 (10, 30) and site 2 (20, 10). Using the load-distance technique, determine the best site for the new super store. c) Plot the four small towns and the proposed new distribution centers according to center of gravity method and load-distance method on a grid map. Give your own opinion about it.
2. A Tema Oil Refinery (TOR) Ltd, must decide among three sites for the construction of a new oil storage facility. The firm has selected the six factors listed below in Table1 as a basis for evaluation and has assigned rating weights from 1 to 5 on each factor. Mr. Isaac Osei the Managing Director has rated each location for each factor on a 1 to 100-point basis. Table 1: Factor Description, Rating Weight and Location rating FACTOR FACTOR NAME RATING WEIGHT LOCATION A B C 1 Proximity to port facility 5 100 80 802 Power-source availability and cost 3 80 70 1003 Workforce attitude and cost 4 30 60 704 Distance from Tema 2 10 80 605 Community desirability 2 90 60 806 Equipment suppliers in area 3 90 60 90 Requirements (a) Which site will be recommended based on total weighted scores?(b) If location B’s score for Proximity to port facilities was reset at 90, how would the result change?
Let us assume that a new medical facility, Health-care, is to be located in XYZ city. The location factors, factor rating and scores for two potential sites are shown in the following table. Which is the best location based on factor rating method? in the following table. Which is the best location based on factor rating method? Sr Location factor Factor Rating Rating Location 1 Location 2 1 Facility utilization 10 5 4 2 Total patient per month 8 4 2 3 Average time per emergency trip 5 4 5 4 Land and construction costs 6 3 4 5 Employee preferences 7 4 4 6 Operations Facility 8 4 3
Problem 8-11 A manager has received an analysis of several cities being considered for a new office complex. The data (10 points maximum) are as follows: Location Score Factor A B C Business services 8 6 6 Community services 7 6 7 Real estate cost 3 8 7 Construction costs 5 8 7 Cost of living 3 7 8 Taxes 5 5 4 Transportation 6 7 8 a. If the manager weights the factors equally, how would the locations stack up in terms of their composite factor rating scores? A / 7 B / 7 C / 7 Thus, (Click to select) A B C B and C A and B is the best. b. If business services and construction costs are given weights that are double the weights of the other factors, how would the locations stack up? A / 9 B / 9 C / 9 Thus, (Click to select) A B C A and B B and C is best and (Click to select) A B C A and B B and C…
A location analysis has been narrowed down to three locations. The management needs to select the best location. The critical success factors, their weights, and the ratings for each location are shown below: Location Location Location Factor Wt. A B C Labor Cost 0.3 80 85 75 Transportation Cost 0.2 85 85 60 Market Access 0.2 90 70 90 Raw Materials Cost 0.1 80 90 90 Utility Cost 0.2 75 90 75 a) The composite score for location A is ( )b) The best location is ( )
a. Which location, A or B, should be chosen on the basis of the total weighted score? b. If the factors were weighted equally, would the choice change?

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