Using the design of a kitchen blender and mixer: Apply several
of the progressive methods to...
Using the design of a kitchen blender and mixer: Apply several
of the progressive methods to the product design and development.
Explain how this benefits product development.
A manufacturer of kitchen appliances is preparing to set
the price on a new blender. Demand is thought to depend on the
price and is represented by the model
D = 2,500 – 3P
The accounting department estimates that the total cost
can be represented by
C = 5,000 + 5D
Develop a mathematical model for the total profit in
terms of the price, P. (Using Excel)
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct Material
$26
$45
Direct Labor
$20
$33
Manufacturing overhead @ $54 per machine hour
$54
$108
Cost if purchased from an outside supplier
$68
$116
Annual demand (units)
$28,000
$34,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $42.
Kitchen Magician's management has a policy of filling all sales
orders, even...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct Material
$26
$45
Direct Labor
$20
$33
Manufacturing overhead @ $54 per machine hour
$54
$108
Cost if purchased from an outside supplier
$68
$116
Annual demand (units)
$28,000
$34,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $42.
Kitchen Magician's management has a policy of filling all sales
orders, even...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
18
$
28
Direct labor
11
39
Manufacturing overhead @ $46 per machine hour
46
92
Cost if purchased from an outside supplier
65
133
Annual demand (units)
34,000
40,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $23.
Kitchen Magician’s management has a policy of filling all sales...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
21
$
30
Direct labor
14
42
Manufacturing overhead @ $52 per
machine hour
52
104
Cost if purchased from an
outside supplier
71
140
Annual demand (units)
37,000
46,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $26.
Kitchen Magician’s management has a policy of filling all sales...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
17
$
26
Direct labor
10
38
Manufacturing overhead @ $44 per
machine hour
44
88
Cost if purchased from an
outside supplier
64
132
Annual demand (units)
33,000
38,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $22.
Kitchen Magician’s management has a policy of filling all sales...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
17
$
26
Direct labor
10
38
Manufacturing overhead @ $44 per machine hour
44
88
Cost if purchased from an outside supplier
64
132
Annual demand (units)
33,000
38,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $22.
Kitchen Magician’s management has a policy of filling all sales...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
22
$
32
Direct labor
15
43
Manufacturing overhead @ $54 per machine hour
54
108
Cost if purchased from an outside supplier
75
146
Annual demand (units)
38,000
45,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $27.
Kitchen Magician’s management has a policy of filling all sales...
Kitchen Magician, Inc. has assembled the following data
pertaining to its two most popular products.
Blender
Electric Mixer
Direct material
$
22
$
37
Direct labor
16
29
Manufacturing overhead @ $46 per machine hour
46
92
Cost if purchased from an outside supplier
64
109
Annual demand (units)
24,000
36,000
Past experience has shown that the fixed manufacturing overhead
component included in the cost per machine hour averages $34.
Kitchen Magician’s management has a policy of filling all sales...