Byron's Manufacturing Makes Tables

question 59

Essay

Byron's Manufacturing makes tables.Demand for the next four months and capacities of the plant are shown in the table below.Unit cost on regular time is $40.Overtime cost is 150% of regular time cost.Subcontracting is available in substantial quantity at $75 per unit.Holding costs are $5 per table per month;back orders cost the firm $10 per unit per month.Byron's management believes that the transportation algorithm can be used to optimize this scheduling problem.The firm has 50 units of beginning inventory and anticipates no ending inventory.
a.How many units will be produced on regular time in June?
b.How many units will be produced by subcontracting over the four-month period?
c.What will be the inventory at the end of April?
d.What will be total production from all sources in April?
e.What will be the total cost of the optimum solution?
f.Does the firm utilize the expensive options of subcontracting and back ordering? When;why?

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Definitions:

Synthetic Pesticides

Man-made chemicals designed to control pests, differing from natural pesticides in their creation in laboratories and often showing increased potency.

Food Supplies

The total amount of food available for consumption by a population, encompassing production, distribution, and storage systems.

Integrated Pest Management

A method of pest management that employs a mixed strategy of biological, cultural, physical, and chemical methods aimed at reducing economic, health, and environmental hazards.

Ecological Programs

Initiatives or projects designed to protect the environment, restore ecosystems, and promote biodiversity through conservation efforts and sustainable practices.