operations management excel problems

C4-2

Chapter 4-Problem 2
			Total Costs
	FC	VC	Quantity	Total Costs
Buy
Make
Indifferent Point
View the concept visually
	Total Costs (Buy)	Total Costs (Make)
0	$ - 0	$ - 0
80000	$ - 0	$ - 0
160000	$ - 0	$ - 0
240000	$ - 0	$ - 0
320000	$ - 0	$ - 0
400000	$ - 0	$ - 0
480000	$ - 0	$ - 0
560000	$ - 0	$ - 0
640000	$ - 0	$ - 0
720000	$ - 0	$ - 0
If expected demand is 300,000, then the company should continue to outsource to the new supplier

Total Costs (Buy) 0 80000 160000 240000 320000 400000 480000 560000 640000 720000 0 0 0 0 0 0 0 0 0 0 Total Costs (Make) 0 80000 160000 240000 320000 400000 480000 560000 640000 720000 0 0 0 0 0 0 0 0 0 0

C4-4

Chapter 4-Problem 4
			Total Costs
	FC	VC	Quantity	Total Costs
DB (insource)
FFI (outsource)
Indifferent Point
View the concept visually
	Total Costs (Buy)	Total Costs (Make)
0	$ - 0	$ - 0
60000	$ - 0	$ - 0
120000	$ - 0	$ - 0
180000	$ - 0	$ - 0
240000	$ - 0	$ - 0
300000	$ - 0	$ - 0
360000	$ - 0	$ - 0
420000	$ - 0	$ - 0
480000	$ - 0	$ - 0
540000	$ - 0	$ - 0
Decision:

Total Costs (Buy) 0 60000 120000 180000 240000 300000 360000 420000 480000 540000 0 0 0 0 0 0 0 0 0 0 Total Costs (Make) 0 60000 120000 180000 240000 300000 360000 420000 480000 540000 0 0 0 0 0 0 0 0 0 0

C4-6

Chapter 4-Problem 6
			Total Costs Prev Year
	FC	VC	Quantity	Total Costs
Cal's (insource)	$ 111,600
FT clerks	$ 93,600
PT clerk	$ 18,000
SBARG (outsource)
Indifference Point
View the concept visually
	Total Costs (Buy)	Total Costs (Make)
0	$ - 0	$ 111,600
300	$ - 0	$ 111,600
600	$ - 0	$ 111,600
900	$ - 0	$ 111,600
1200	$ - 0	$ 111,600
1500	$ - 0	$ 111,600
1800	$ - 0	$ 111,600
2100	$ - 0	$ 111,600
2400	$ - 0	$ 111,600
2700	$ - 0	$ 111,600
Decision:

Total Costs (Buy) 0 300 600 900 1200 1500 1800 2100 2400 2700 0 0 0 0 0 0 0 0 0 0 Total Costs (Make) 0 300 600 900 1200 1500 1800 2100 2400 2700 111600 111600 111600 111600 111600 111600 111600 111600 111600 111600