How many wrenches of each type should be made in-house

Assignment Help Operation Management

Reference no: EM131926129

Problem

A company produces three different types of wrenches: W111, W222, and W333. It has a firm order for 2,000 W111 wrenches, 3,750 W222 wrenches, and 1,700 W333 wrenches. Between now and the order delivery date, the company has only 16,500 fabrication hours and 1,600 inspection hours. The time that each wrench requires in each department is shown in the table at the bottom of this page. Also shown are the costs to manufacture the wrenches in-house and the costs to outsource them. For labeling considerations, the company wants to manufacture in-house at least 60% of each type of wrench that will be shipped. How many wrenches of each type should be made in-house and how many should be outsourced? What will be the total cost to satisfy the order?

Reference no: EM131926129

Questions Cloud

Which recommendations would you make to the client : Your client Holly Lynne has a 15% required rate of return. She is considering investing in XYZ, Inc., which paid an annual dividend of $0.75.

What should be the production and outsource plan : A gear manufacturer is planning next week's production run. What should be the production and/or outsource plan for the next week to maximize profit?

Produce the simulation of the orbits of the planets : Need to produce a code with object oriented programming using python, which will produce the simulation of the orbits of the planets around the sun

What were the goals of operation twist : The role of term structure theories in policy effectiveness: What were the goals of "Operation Twist"? How did the policy makers want to twist the yield curve?

How many wrenches of each type should be made in-house : How many wrenches of each type should be made in-house and how many should be outsourced? What will be the total cost to satisfy the order?

What is the current price of the bond : 3 years ago, Maxi Min Inc. issued 30 year to maturity zero-coupon bonds with a par value of $1,000. Now the bond has a yield to maturity of 9.21 percent.

Construct a resource folio containing materials suitable : All students will construct a resource folio containing materials suitable for teaching health and physical education (HPE) topics.

Average human body : If a person ingests 12.0 mL of 12.0 mM NaCN, what percentage of iron(II) in the blood would be sequestered by the cyanide ion?

What is the annualized forward premium : The 30-day forward rate for the euro is $1.05, while the current spot rate of the euro is $1.07. What is the annualized forward premium or discount of the euro?

User Account

All Pages