Explain major sources of commercial-grade frozen pizza, Operation Management

Assignment Help:

A large hotel-casion in Las Vegas is currently under construction. There will be an Italian restaurant in the hotel that will serve pizza. Management is trying to decide whether to make the pizza themselves or buy it frozen and simply heat it to customer order. There are two major sources of commercial-grade frozen pizza: Ma Ma's products and the Chun-Yee Corporation. If they make the pizza themselves a substantial amount of preparation equipment will be required, along with skilled personnel. Frozen pizza needs either a conventional oven (MA MA's) or a microwave (Chun-Yee)/ Financial data below (variable costs are estimated based on an average pizza purchase) Make in-house - Fixed cost=$7,870/year Variable cost=$3.20 Ma Ma's - Fixed cost=$860/year Variable cost=$5.60 Chun-Yee - Fixed cost=$2,460/year Variable cost=$4.50 a.) At what volume is either Ma Ma's or Chun-Yee acceptable? b.) At what volume is the company indifferent to either Chun-Yee or make in-house?


Related Discussions:- Explain major sources of commercial-grade frozen pizza

Explain jit and lean, When linking marketing requirements and manufacturing...

When linking marketing requirements and manufacturing strategy, what design approaches for shop floor system should be considered? JIT and Lean MRP and PAC MRP and JIT

What does b stand for in the bcg matrix, Which of the following does B stan...

Which of the following does B stand for in the BCG Matrix? (a) Boom (b) Balance (c) Bankruptcy (d) Boston

Explain why is km extremely valuable in areas of research, Why is KM extrem...

Why is KM extremely valuable in areas of research and development? How do the different components of MITRE's KM system assist in spreading knowledge throughout its labs and in sto

Suggest productivity measurements - operations manager, 1. Suggest producti...

1. Suggest productivity measurements which operations managers might consider important to be used in a:  (a) hotel  (b) University  (c) Department store  (d) Hospital

Explain the impacts of consumerism, Describe the impacts of consumerism in ...

Describe the impacts of consumerism in regards to information technology, claims management, and member services when dealing with healthcare providers.

Ways of reorganization and create the new organizational, Reorganizing a co...

Reorganizing a company can be very difficult and time consuming. It involves various resources including human interactions as well as monetary investments. Reorganization can deal

Financial risk, the importance of the measurtement of market risk for finan...

the importance of the measurtement of market risk for financial institution

Number of rules for string diagram, There are a number of rules developed a...

There are a number of rules developed and given under three broad headings: 1. Related to the use the Human Body : a. The two hands should beings as well as complete their

Explain wastewater treatment plant, Visit the site: Wheaton, IL Sanitary Di...

Visit the site: Wheaton, IL Sanitary District. This tour of a wastewater treatment plant is an example of a high-volume, public project. • How is capacity defined at a wastewate

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