Minimize the cost of inventorying single item

Assignment Help Business Economics

Reference no: EM131092413

Imagine you have some workers and some handheld computers that you can use to take inventory at a warehouse. There are diminishing returns to taking inventory. If one worker uses one computer, he can inventory 125 items per hour. Two workers sharing a computer can together inventory 175 items per hour. Three workers sharing a computer can together inventory 185 items per hour. And four or more workers sharing a computer can together inventory fewer than 185 items per hour. Computers cost $100 each and you must pay each worker $25 per hour. a. If you assign one worker per computer, what is the cost of inventorying a single item? $.b. What if you assign two workers per computer? What is the cost of inventorying a single item? $. c. What if you assign three workers per computer? $. d. How many workers per computer should you assign if you wish to minimize the cost of inventorying a single item?

Reference no: EM131092413

Questions Cloud

Professionals and ordinary consumers : CompuTrip Inc. offers two softwares, Street Finder and Trip Planner, which are produced at zero marginal cost (and zero fixed costs). The market research department has estimated that there are two groups of customers of equal size that buy the two p..

Decide whether to present their ready-to-wear collection : Ives LeFancy and Donna Gabbana are two top fashion designers who own stores on Trendy St. Each has to decide whether to present their ‘ready-to-wear’ collection at the Los Angeles Fashion Week (L.A.) or at the New York Fashion Week (N. Y.) (they can ..

Calculate accounting profit for pottery firm-economic profit : Gomez runs a small pottery firm. He hires one helper at $11,500 per year, pays annual rent of $7,000 for his shop, and spends $22,500 per year on materials. He has $40,000 of his own funds invested in equipment (pottery wheels, kilns, and so forth) t..

Frequent mistake that companies make during implementation : The ASTD council on high-performance work systems noted that ____ is the most frequent mistake that companies make during implementation.

Minimize the cost of inventorying single item : Imagine you have some workers and some handheld computers that you can use to take inventory at a warehouse. There are diminishing returns to taking inventory. If one worker uses one computer, he can inventory 125 items per hour. What if you assign t..

One-square-mile properties-single four-square-mile property : There are economies of scale in ranching, especially with regard to fencing land. Suppose that barbed-wire fencing costs $21,000 per mile to set up. Instructions: Enter your answers as whole numbers. Which is more costly—fencing in the four, one-squa..

Which will create a lookup field : Which of the following will create a lookup field, populate the values in the field, and establish relationships between tables?

Relationship between family ownership and r&d investment : Influences of growth potential and business group membership upon the effect of family ownership on R&D investment: Evidence from Thailand. What is the relationship between family ownership and R&D investment

Long-run equilibrium of a perfectly competitive market : In the long-run equilibrium of a perfectly competitive market, briefly explain why:

User Account

All Pages