Why insufficient to handle the increased workload, Operation Management

Assignment Help:

A company that produces pleasure boats has decided to expand one of its lines. Current facilities are insufficient to handle the increased workload, so the company is considering three alternatives, A (new location), B (subcontract), and C (expand existing facilities).

Alternative A would involve substantial fixed costs but relatively low variable costs: fixed costs would be $250,000 per year, and variable costs would be $500 per boat. Subcontracting would involve a cost per boat of $2,500, and expansion would require an annual fixed cost of $50,000 and a variable cost of $1,000 per boat.

a. Find the range of output for each alternative that would yield the lowest total cost. (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to the nearest whole number.)
A. _________ or More
B. _________ To __________
C._________ To ___________


Related Discussions:- Why insufficient to handle the increased workload

Describe how laws tie into business ethics, Discuss how laws tie into busin...

Discuss how laws tie into business ethics. Support your ideas with research and specific examples of laws discussed in your text.

What is the difference among personal and business ethics, What is the diff...

What is the difference between personal and business ethics?

PRoject, I need to chose a operations management concept or technique in or...

I need to chose a operations management concept or technique in order to help address the issue of the DFW security wait lines. This is a group project and my teammates have starte

Explain the need for management to motivate their employees, Problem 1: ...

Problem 1: Team working is gaining importance in modern organisations. Do you agree that all members of an organisation could be expected to be team players? Discuss with exa

Design a operations management system, The purpose of operations management...

The purpose of operations management is to make the best use of productive resources. It entails the design and control of all the systems for the productive use of various raw mat

Explain strategic alignment, Strategic Alignment Please respond to the foll...

Strategic Alignment Please respond to the following- Considering your current job (or one you hope to have in the future), discuss the best way to link your job performance to t

Explain how long it sits nothing happens, I am having a issue getting my bo...

I am having a issue getting my book to load it says its loading but no matter how long it sits nothing happens.

Explain levels of management by management skills, Explain levels of Manage...

Explain levels of Management by Management Skills. Management Skills needed successful manager, be categorized as given below: Technical skill refers to the pro

Describe system safety program, You are the System Safety Engineer for a ma...

You are the System Safety Engineer for a major aerospace firm. You have been assigned to lead the system safety program for a newly developed aircraft. What are some of the key tas

Supply chain operation, Please diagram a supply chain.  I prefer that you d...

Please diagram a supply chain.  I prefer that you diagram the supply chain of your company.  However, some of you may wish to select another supply chain with which you are familia

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd