due in 5 hours

profileMSC Math
Ch-8-OM_Calculations.xlsx
Home>Business & Finance homework help>Operations Management homework help>due in 5 hours

8.1

Myanmar
No. of laborers: 6
Cost per labor: 3
Total labor cost : 6 * 3 = $ 18
Units produced = 40 Units
Labor cost per unit=Labor cost per day/units produced per day = 18/40 $ 0.45 per unit
Labor cost per unit for Myanmar= $ 0.45 per unit
China
No. of laborers: 10
Cost per labor: 2
Total labor cost : 10 * 2 = $ 20
Units produced = 45 Units
Labor cost pr unit=Labor cost per day/units produced per day = 20/45 $ 0.44 per unit
Labor cost per unit for China= $ 0.44 per unit
Billings
No. of laborers: 2
Cost per labor: 60
Total labor cost : 2 * 60 = $ 120
Units produced = 100 Units
Labor cost pr unit=Labor cost per day/units produced per day = 120/100 $ 1.20 per unit
Labor cost for Billings= $ 1.20 per unit
China is chosen because the cost is low.

8.3 & 8.4

Thailand Polishing = 2000 baht = 2000/10 = $ 200 INDIA 0.3 200 60 200+60 260 Notes:
bid=offer
India Shine = 2000 rupees = 2000/8 = $ 250 INDIA 250 buyer chooses least offer
Sacramento Glow = $ 200 INDIA 0.3 200 60 200+60 260
If I have to purchase the disks, either I will purchase from Thailand Polishing or Sacramento Glow becasues the bid is the same which the least.
Q. 8.4 :
India Shine is the most economical firm because the bid is with the least cost

8.2

Transportation per unit Labor cost per unit Total cost per unit
1 Myanmar to Denver 1.50 0.45 1.95
2 China to Denver 1.00 0.44 1.44
3 Billings to Denver 0.25 1.20 1.45
China is the location chosen for production because the cost is the least.

8.5

Weighted Scores
Factor Weight Maitland Baptist Church Northside Mall Maitland Baptist Church Northside Mall
Space 0.30 60 70 80 18 21 24
Costs 0.25 40 80 30 10 20 7.5
Traffic Density 0.20 50 80 60 10 16 12
Neighborhood income 0.15 50 70 40 7.5 10.5 6
Zoning laws 0.10 80 20 90 8 2 9
Total Score 53.5 69.5 58.5
a) Ans: the new restaurant must be opened at Baptist Church because the score is the highest among the three location.
Weighted Scores
Factor Weight Maitland Baptist Church Northside Mall Maitland Baptist Church Northside Mall
Space 0.20 60 70 80 12 14 16
Costs 0.25 40 80 30 10 20 7.5
Traffic Density 0.30 50 80 60 15 24 18
Neighborhood income 0.15 50 70 40 7.5 10.5 6
Zoning laws 0.10 80 20 90 8 2 9
Total Score 52.5 70.5 56.5
b) Ans: Even if the weights are reversed, it does not have any influence on the location decision, still Baptist Chruch is choosen because it has higer score

8.6

a, Weighted Score
Factor Weight Mobile Jackson Mobile Jackson
Incentives 0.4 80 60 32 24
Play Satisfaction 0.3 20 50 6 15
Sports interest 0.2 40 90 8 18
Size of city 0.1 70 30 7 3
53 60
A. Jackson site is selected because it’s the one with higher score
b Weighted Score
Factor Weight Mobile Jackson Mobile Jackson
Incentives 0.4 80 75 32 30
Play Satisfaction 0.3 20 50 6 15
Sports interest 0.2 40 90 8 18
Size of city 0.1 70 30 7 3
53 66
Still the site Jackson is choosen because its score was higher and there was an addition to that score

Ex 1

France Denmark France Denmark France Denmark
Weights Score Score
Labor availability and attitude 0.25 70 60 (.25)(70) = 17.5 (.25)(60) = 15.0 17.5 15.0
People-to-
car ratio 0.05 50 60 (.05)(50) = 2.5 (.05)(60) = 3.0 2.5 3.0
Per capita
income 0.1 85 80 (.10)(85) = 8.5 (.10)(80) = 8.0 8.5 8.0
Tax structure 0.39 75 70 (.39)(75) = 29.3 (.39)(70) = 27.3 29.3 27.3
Education
and health 0.21 60 70 (.21)(60) = 12.6 (.21)(70) = 14.7 12.6 14.7
Totals 1 Sum 70.35 68.00

8.16

a)
Site FC per year VC per unit Site FC per year VC per unit
1 500 11 1 1700 4 500 4
2 1000 7 2 1000 7 1000 7
3 1700 4 3 500 11 1700 11
Step 1: TC1=TC2 1 1700 4
500+(11*X1)=1000+(7*X1) 2 500 11
4X1 = 500 3 1000 7
X1= 125 Units
Step 2: TC2=TC3
1000+(7*X2)=1700+(4*X2)
3X2 = 700
X2= 233.3333333 Units
Conclusion: For quantity between 0 and 125 units site 1 is economical/optimal
for quantity between 125 to 233 units site 2 is economical/optimal
for quantity more that 233 units site 3 is economical/optimal
b. Because quantity 200 lies between 125 and 233 - site 2 is economical to produce 200 units.

8.17

Cost Dallas Detroit Cost Dallas Detroit
FC 600000 800000 FC 960000 800000
VC 28 22 VC 28 22
a)
TC(Dallas) = TC (Detroit)
600000+28X = 800000+22x
28x-22x = 800000-600000
6x = 200000
x = 200000/6 33333.33333
Conclusion: from 0 to 33333 units Dallas is economical location
for >33333 units Detroit is economical location
b) Cost Dallas Detroit
FC 660000 800000
VC 28 22
TC(Dallas) = TC (Detroit)
660000+28X = 800000+22x
28x-22x = 800000-660000
6x = 1400000
x = 140000/6 23333.33333
Conclusion: from 0 to 23333 units Dallas is economical location
for >23333 units Detroit is economical location

8.20

CITY Map (x,y) Shipping load (v) vx vy CITY Map (x,y) Shipping load (v) vx vy
x y x y
A 5 10 5 25 50 A 5 10 15 75 150
B 6 8 10 60 80 B 6 8 10 60 80
C 4 9 15 60 135 C 4 9 15 60 135
D 9 5 5 45 25 D 9 5 5 45 25
E 7 9 15 105 135 E 7 9 15 105 135
F 3 2 10 30 20 F 3 2 10 30 20
G 2 6 5 10 30 G 2 6 5 10 30
65 335 475 75 385 575
x-coordinate = 335/65 5.153846154 x-coordinate = 385/75 5.133333333
y-coordinate = 475/65 7.307692308 y-coordinate = 575/75 7.666666667
(5.2,7.3) Yes it changes (5.1,7.7)

8.22

Shool Map (x,y) School capacity (v) vx vy
x y
NP 4 11 500 2000 5500
Jef 5 2 300 1500 600
Lin 8 2 300 2400 600
Was 11 6 200 2200 1200
1300 8100 7900
x-coordinate = 8100/1300 6.230769231
y-coordinate = 7900/1300 6.076923077
(6.2,6.1)

8.21

Office Map (x,y) No. of times vx vy
x y
Cov 9.2 3.5 3 27.6 10.5
Don 7.3 2.5 3 21.9 7.5
Houma 7.8 1.4 5 39 7
Mon 5 8.4 3 15 25.2
Nat 2.8 6.5 3 8.4 19.5
New 5.5 2.4 3 16.5 7.2
Ope 5 3.6 3 15 10.8
Rus 3.8 8.5 3 11.4 25.5
26 154.8 113.2
x-coordinate =155/26 5.953846154
y-coordinate = 113.2/26 4.353846154
(6,4.4)