one production facility will usually be favored when

6. trade policies In a job shop, effective capacity is only 49 percent of design capacity, and actual output is 64 percent of effective output. Yesterday the clinic was open for 9 hours and treated 758 patients. Assume that the initial inventory has no holding cost in the first period and backorders are not permitted. 7. D. t Last year National Aeronautics had a FA/Sales ratio of 40%, comprised of $250 million of sales and $100 million of fixed assets. What design capacity would be needed to achieve an actual output of 17 Material delays have routinely limited production of household sinks to 400 units per day, plant efficiency is 80%, what is effective capacity? 2a- Proximity to customer markets, suppliers, Simplifies the production process Consider the following product structure: If the demand for product A is 50 units, how many units of component E will be needed A) 100 B) 250 C) 300 D) 4 E) 200, Scorla Corp. is an apparel manufacturing factory. c) Large volumes of a product are manufactured. The Dahlia Medical Center has 33 labor rooms,15 combination labor and delivery rooms, and 22 delivery rooms. The vast majority of the electricity that Americans use is from centralized generation. A furnace repair team services an average of 10 furnaces a day. a. Suppose that each unit of capital costs R and each unit of labor costs W. a. How does this differ from Chris Pavone's situation? Profits earned by producing goods and services in-house will go instead to suppliers Select all that apply: (I) The master production schedule, (II) Routing information, (III) Current shop loads, (IV) Pla A work center consisting of 3 machines operates 40 hours a week. What are the inputs to CRP process? It takes a nurse 1.5 hours to complete one patient visit (including travel times and breaks). b. demand is higher than the minimum efficient scale. a. 1- If a product can serve all customers worldwide,then production facilities can be in one country. Suppose that each customer arrive to a bank every 20 minutes on average with variance equals to 25 and the banker serve a customer every 15 minutes with variance equals to 16. In a job shop, effective capacity is only 45 percent of design capacity, and actual output is 63 percent of effective output. A. direct materials cost B. direct labor cost C. manufacturing overhead cost D. period cost, Assume a firm produces 500 units of a good by using two inputs, capital and labor, whose per unit prices are $10 and $4. Access the answers to hundreds of Capacity planning questions that are explained in a way that's easy for you to understand. The cost of an aerobic digester system with a capacity of 140 million gallons per day (MGD) is $2.1 million. Why? a) The minimum efficient scale is the -smallest level of output needed to attain all economies of scale and minimum long-run average total cost. Improving . At present, actual output averages 200. The normal production capacity for the Fabrication Department is 10,000, A firm combines labor (L) and capital (K) to produce output (Q). Describe the concept of capacity and how managing capacity can improve operations and the supply chain flow of goods and services. and services in-house, All activities associated with the flow and transformation of goods and services from the raw material stage to the end user, together with the corresponding flows of monetary funds and information . Your grandfather is retired and has taken out a large mortgage against his home to support his lifestyle. b. its marginal revenue is less than $9. the management of all activities in the supply chain, in order to minimize the total cost of the supply chain, and to maximize the value of the product to the end user; Supply-chain management has become a new source of competitive advantage. Before starting to produce a board, the PCB machine requires a 19-minute setup. Consider the following two mutually exclusive alternatives, related to an improvement project, and recommend which one should be implemented. The firm operates and experiences demand 365 days, Wiki Wiki company has determined that the variable overhead rate is $4.50 per direct labor hour in the Fabrication Department. A) absorption B) break-even, 1.A profit-maximizing firm will base its decision to hire workers on the additional costs and benefits of each worker. If storing products in a warehouse is generally considered negative since it reduces profits by increasing inventory carrying costs, why is the number and size of warehouses increasing in the United States? Large power plants require space for their operations. Q = A f (L, K) = 30L + 6L^2 - 0.10L^3 (a)Is this a short run or a long run production function? In general, centralized power plants can affect the environment in the following ways: In addition to these environmental impacts, much of the primary energy (total energy content) of fossil fuels burned at power plants is wasted during generation and delivery to end-users. When the capacity of an organization to produce goods or services and the demands of its customers to purchase goods or services is not matched, then the result is inefficiency, either in under-ut AlwaysRain Imgation Inc. would like to determine capacity requirements for the next four years. The company has an annual production rate of 292,000 units. =___? b. identifying capacity gaps. The concept of sizing your capacity throughout a process so that you smoothly and continually create your product or service at a rate consistent with customer demand is known as A community health system's nurse team consists of 12 nurses working in the local community. D) A growing firm can cover up mistakes and inefficiencies because of the increase in . (a) include staffing and scheduling (b) include inventory control (c) include defining product specifications (d) None of the above. The Bango Toy Company produces several types of toys to seasonal demand. The demand at the warehouses located in CA, TX, and OH are resp A company making tires for bikes is concerned about the exact width of their cyclocross tires. 5. infrastructure that the country offers ie seaports, airports, roads, electricity, and water access The standard quantity requ, Supose the marginal product of labor is currently equal to its average product. _____ refers to the management of the direct resources that are involved in the production system of a business, Tipton Manufacturing is based in Lexington, Kentucky. the system that businesses use to produce products, a production system in which goods dominate the value of the product, a production system in which services dominate the value of the product, suppliers > inputs > production process > outputs > customers, goods and services that integrate a product, the management of the direct resources that are involved in the production system of a business organization, When all production system direct resources of a firm originate from and reside in only one country, When one or more of the production system direct resources originate from or are located in more than one country. Maximizes flexibility by allocating orders among the suppliers in a dynamic way The labor standard is 100 items/FTE. Which of the following would be one of his responsibilities? Ford's famous response was "They [customers] can have any color they want as long as its black." c) p. The Moody Company produced three joint products at a joint cost of $117,000. Its income statement and division of costs for 2014 are given in the following table. The company's targets are high, and they are able to generate substantial profits. Consider the four-step serial process with processing times given in the list below. Honey industries has $4 billion in sales and $1.6 billion in fixed assets. Twisted nitinol-wire eyeglass framed unbend at room temperatures. Create an account to browse all assetstoday. The motor on a gas-fired furnace in a small factory is to be replaced. $148,148 B. Over a period of 4 weeks, a work center produced 50, 45, 42, and 52 standard hours of work. The comparison of the expected cost of production against the actual cost of production typically occurs in the A. investment center. Explain how capacity utilization affects product mix and profitability. Operations Management questions and answers. Under what conditions would Zona Co.'s subsidiary consider using a lagging Can you think of any ways in which a short-term shortage of production facilities of a manufacturer might be overcome? While most of its products are processed independently, a few are related. b. the average produc, Sholette Manufacturing Corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine-hours (MHs) at $5.00 per MH. The average safety capacity of Scorla Corp. is ____. c. unemployment is very low. A firm uses 1 capital for every 5 workers to produce 1 output. Standard hours per unit of output 6.4 hours Standard variable overhead. a.microchips b.HD televisions c.petroleum d.pickup trucks. Machine A Machine B Capital investment $20,000 $30,000 Best Bicycles manufactures three different types of bikes: the Tiny Tike, the Adult Aero, and the Mountain Monger. A lock (LockA locked padlock) or https:// means youve safely connected to the .gov website. You also know that the wage rate for w, Depreciation on Abel Manufacturing Company's factory machinery is classified as which of the following? The Austin, Texas plant of Computer Products produces disk units for personal and small business computers. Find the values for APP and MPP. Air pollution from burning fuel often includes carbon dioxide, sulfur dioxide, nitrogen oxides, mercury, and particulate matter. Please click here to see any active alerts. Reduces product cycle times Water used for steam production or cooling may be returned at warmer temperatures to water bodies and may contain contaminants. Founded by Neal Broffman and Elisa Gambino, One Production Place Films produces documentaries that challenge viewers to see the underlying truths too often obscured by notions of conventional wisdom. fixed costs are low. - Another location consideration is the infrastructure that the country offers. During the month the company purchased and used 600 units of this material at a price of $2.25 per unit. 11.One production facility will usually be favored when a. b. demand is higher than the minimum efficient scale. These facilities are usually located away from end-users and connected to a network of high-voltage transmission lines. Test your understanding with practice problems and step-by-step solutions. - logistics The concept of LEAN was originally started and applied with Toyota. copyright 2003-2023 Homework.Study.com. e. goods have a low value-to-weight This problem has been solved! A value equal to the demand. The operation has a design capacity of 11 lo Identify four potential unethical actions or inactions related to capacity planning, and the ethical principle it violates. E. expense center. For example, nuclear power generation produces radioactive waste, while coal ash can contain heavy metals like mercury. In the past month the plant produced 750 units. WGU_FVC1_Ch13_Global Operations and Supply-Ch 105 terms. Currently, the company's fixed assets are operating at 90% of capacity. 4. The company does not make the gears it uses in its products, it, purchases them from a supplier in Hong Kong. Th, A certain company uses a single raw material in its production process. A firm's production function is qi = 4*Ki^{.2}Li^{.4}. True or false? Effective capacity = 100 units per day Design capacity = 120 units per day Utilization = 60% A) 93.75% B) 67.77% C) 80% D) 97.5% E) 72%. the effective capacity, however, is 700 boards per day. Given the following diagram, a. Centralized generation requires transmission lines, which also use land. A production system in which goods dominate the value of the product Students also viewed. Major consulting companies around the world have developed global supply-chain management consulting practices. It follows that the: A. production of the 100th unit of output increases the firm's profit by $3. 3. value-to-weight ratio, goods with high value-to-weight ratios are expensive but do not weigh very much how tall was aristotle,

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one production facility will usually be favored when

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