Question Part a: A manager is evaluating production and inventory. In looking over the data, he...

Question

Part a: A manager is evaluating production and inventory. In looking over the data, he decides that a product should be continued if it sold 23,000 over the previous year. In addition, the product is considered “popular” if it receives 50 mentions by the local press over the past year.

In selecting a product at random from the catalog, let C be the likelihood that this particular product sold 23,000 products the past year. Let P be the likelihood that the product received the 50 or more mentions by the local press.

The analyst determines that P(C) = 0.297, P(P) = 0.162, and the probability that a product has sold 8000 items, and was ‘popular’ is 0.083. What is the probability that a randomly selected product either sold the requisite 23,000 items, or that it is ‘popular’?

Part b: Where would the analyst have come up with the probaility values for P(C) andP(P)?

Expert Solution

orchestra answered 1 year ago

Part B The purchasing manager and the production manager are waiting for the report on the...

Part B The purchasing manager and the production manager are waiting for the report on the June 2013 variances. Assume that the price, spending, and rate variances are all favourable, but that the quantity and efficiency variances are unfavourable. Briefly explain how the purchasing manager and production manager will each interpret the June variances.

As observed in Part I, over twenty percent of Garcia Energy’s inventory is invested in inventory....

As observed in Part I, over twenty percent of Garcia Energy’s inventory is invested in inventory. In order to make this component of its asset base more productive, Garcia Energy is analyzing two potential inventory expansion projects. Option B is more costly and provides larger cash inflows. Project A and Project B are mutually-exclusive projects. Andrew Potts believes that he the impact of this decision will extend out to three years. Garcia Energy’s required return is 10 percent on this...

**** LOOKING TO SOLVE THE SECOND PART TO THIS 2 PART QUESTION; PROBLEM 4 ONLY PLEASE...

**** LOOKING TO SOLVE THE SECOND PART TO THIS 2 PART QUESTION; PROBLEM 4 ONLY PLEASE **** Automobiles arrive at the drive-through window at a post office at the rate of 4 every 10 minutes. The average service time is 2 minutes. The Poisson distribution is appropriate for the arrival rate and service times are exponentially distributed. a) What is the average time a car is in the system? 10 minutes b) What is the average number of cars in...

Part A. Project Selection As observed in Part I, over twenty percent of Garcia Energy’s inventory...

Part A. Project Selection As observed in Part I, over twenty percent of Garcia Energy’s inventory is invested in inventory. In order to make this component of its asset base more productive, Garcia Energy is analyzing two potential inventory expansion projects. Option B is more costly and provides larger cash inflows. Project A and Project B are mutually-exclusive projects. Andrew Potts believes that he the impact of this decision will extend out to three years. Garcia Energy’s required return is...

A production line manager wants to determine how well the production line is running. He randomly...

A production line manager wants to determine how well the production line is running. He randomly selected 90 items off of the assembly line and found that 8 were defective. (Assume all conditions have been satisfied for building a confidence interval). Find the 99% confidence interval. (0.0234, 0.1099) (0.0116, 0.1662) (0.0301, 0.1477) (0.0396, 0.1382)

Part A Santana Rey of Business Solutions is evaluating her inventory to determine whether it must...

Part A Santana Rey of Business Solutions is evaluating her inventory to determine whether it must be adjusted based on lower of cost or market rules. Business Solutions has three different types of software in its inventory, and the following information is available for each. Per Unit Inventory Items Units Cost Market Office productivity 8 $ 76 $ 78 Desktop publishing 7 102 105 Accounting 8 98 95 Required: Compute the lower of cost or market for ending inventory assuming...

In an effort to increase production of an automobile part, the factory manager decides to play...

In an effort to increase production of an automobile part, the factory manager decides to play music in the manufacturing area. Eight workers are selected, and the number of items each produced for a specific day is recorded. After one week of music, the same workers are monitored again. The data are given in the table below. Can the manager conclude that the music has changed the production level? Worker Before After 1 6 8 2 8 11 3 10...

1. Explain why it is important for an agribusiness manager to understand production and inventory management....

1. Explain why it is important for an agribusiness manager to understand production and inventory management. 2. In the basic break-even equation, the term contribution is used. What does the term contribution mean here? What does this number tell the manager?

Inventory Control You are the production manager of GVT Manufacturing, a company that manufactures a wide...

Inventory Control You are the production manager of GVT Manufacturing, a company that manufactures a wide range of products, including fire extinguishers. Data shows that GVT is projected to manufacture 30,000 of these fire extinguishers next year. A production-year for GVT covers 300 days. Information on the product also reveals that each extinguisher requires one handle. Additional information gleaned from the production records shows the following: annual carrying cost per handle is US$1.50; production setup cost is US$150 and daily...

Tom Hawk is the production manager at English Garden Company. One of the products he is...

Tom Hawk is the production manager at English Garden Company. One of the products he is responsible for producing is its top-selling wheelbarrow. In the past Mr. Hawk has purchased wheels from the Jerk Werx Company for $6.00 each. Jerk Werx recently informed Mr. Hawk that, when the current contract expires, it will be raising the price of wheels to $7.00 each. In a typical year, English Garden makes 50,000 wheelbarrows. If it decides to make the wheels for its...

Question

Question Part a: A manager is evaluating production and inventory. In looking over the data, he...

Solutions

Expert Solution

Related Solutions