4 Dennison Manufacturing makes large helical springs used in aircraft landing gear. The company has narrowed its potential choices for its new manufacturing facility tofour cities. The following information is known about the manufacturing and shipping costs of locating in each of these four cities:Fixed CostsVariable ManufacturingVariable Shippingper YearCosts per UnitCosts per Unit$300,000$550,000$1,500,000$1,750,000$70.00$51.00$38.00$36.00Seattle$5.00$4.00$2.00$5.00AtlantaPhoenixBuffaloa. Use break-even point analysis to determine where Darren should locate.Quantity per YearChoiceless than unitsSeattlebetweenandunitsmore thanunitsb. Based solely on break-even quantity, if Darren's manufacturing forecast for the foreseeable future is 30,000 units annually, where should he locate?Given the quantity of 30,000 units per year, the best choice is

Break-even analysis is one of the methods that are commonly and widely used in manufacturing…

Answered: Quantity per Year Choice less than…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Using the information about customer vehicle traffic to and from a proposed new sports stadium (not built yet), find the best location for the stadium that minimizes total distance travelled using the center-of-gravity method. Zip Code Location Options 2 3 4 Coordinates of Location X 2 9 12 13 y 4 5 6 12 Vehicles per Stadium Event 4,300 4,700 1,100 2,000 Use the center-of-gravity method to determine an ideal location for a service center. Round your answers to two decimal places. Cx: Cy:
Dennison Manufacturing makes large helical springs used in aircraft landing gear. The company has narrowed its potential choices for its new manufacturing facility to four cities. The following information is known about the manufacturing and shipping costs of locating in each of these four cities: Fixed Costsper Year Variable ManufacturingCosts per Unit Variable ShippingCosts per Unit Phoenix Buffalo Seattle Atlanta $300,000 $600,000 $1,500,000 $1,750,000 $70.00 $56.00 $36.00 $42.00 $5.00 $4.00 $2.00 $5.00 a. Use break-even point analysis to determine where Dennison should locate.b. Based solely on break-even quantity, if Dennison’s manufacturing forecast for the foreseeable future is 40,000 units annually, where should he locate?
Suppose that you are an engineer tasked with finding a new location for your distribution center (let's say you work as an industrial engineer at a cosmetics company). You have a good idea of who your customers are and how many tons of cosmetics you must ship per week. Using your company headquarters as the origin, you plot out the following table: Customer x-location (miles) y-location (miles) Quantity (tons/week) JC Penney 10 280 3 BB&B 70 180 7 Target 80 160 4 Bath&Body Works 170 20 5 Walmart…
The following table gives the map coordinates and the shipping loads for a set of cities that we wish to connect through a central hub. Using the Center of Gravity method, near which map coordinates should the hub be located? STORE LOCATION CONTAINERS SHIPPED PER MONTH X Y Chicago 2,000 50 120 Pittsburgh 1,000 110 100 New York 3,000 160 130 Atlanta 2,000 120 40
Determine the suitable location of a distribution centre with the below data, minimizing the transportation dollars spent on managing inbound and outbound shipments. Plot the location of the Vendors, Customers and the location of the new DC in a chart Vendor V1 V2 V3 V4 Customer C1 C2 C3 C4 Rate $ per Ton Mile $ $ $ $ 4.75 3.75 3.15 4.75 Rate $ per Ton Mile $ $ $ $ 3.50 3.75 4.25 5.00 Volume in Tons 1000 1000 1600 1400 Volume in Tons 760 640 800 500 Vendor Location Coordinates (miles) Horizontal 525 600 412.5 300 Vertical 300 750 750 630 Customer Location Coordinates(miles) Vertical 450 900 1050 975 Horizontal 900 900 825 1050
Maya ltd. wants to use the Centre of Gravity location technique to determine where to setup its distribution centre. Setup a numerical example that can be used to demonstrate to the owner of the company how the technique can be used Use the numerical example set up above to demonstrate how the centre of gravity location technique is used.
The Davis national drugstore chain prefers to operate one outlet in a town that has four major market segments. The number of potential customers in each segment, along with the coordinates are as follows: Location Market Coordinates Number of Segment x y Customers 1 5 22 2,200 2 17 20 300 3 5 3 1,400 4 10 3 3,000 Find the best location using the Center of Gravity Excel template. Round your answers to two decimal places. Cx: ____________Cy: ______________
how to setup an example of a numerical centre of gravity location technique (for production and operations management) that can be used to demonstrate how the technique is used for a distribution centre?
Maya ltd. wants to use the Centre of Gravity location technique to determine where to setup its distribution centre. What is the main objective of using this technique? What information will be needed in order to use this technique? Setup a numerical example that can be used to demonstrate to the owner of the company how the technique can be used Use the numerical example set up above to demonstrate how the centre of gravity location technique is used.
A manufacturer has decided to locate a new factory in northwestern United States to serve growing demand in that market. They have narrowed the potential sites down to two finalists, City A and City B. They have developed a list of important factors to consider in selecting a site, and rated each as shown in the following table. CITY B 114 75 FACTOR CITY A Utility rates Availability of skilled labor Tax rates Transportation Proximity to suppliers Quality of life 98 82 38 44 38 38 35 20 16 Based on this data, which city appears to be the better choice? O City A O City B O They are equally attractive O There is insufficient information provided to answer this question
1. Using the center-of-gravity method, compute the centralized coordinates among the following locations, which are indicated via black cells with white text in LOCATION.xlsx: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 2. Using the weighted average center-of-gravity, which accounts for quantities to be shipped from locations, compute the centralized coordinates among the following locations: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 *Quantities to be shipped are listed within the existing locations (i.e. Location 7,1 ships 17 units) in LOCATION.xlsx
ABC Ltd. Wants to choose the best location for its new aluminum plant. The manager ofproductions and operations has three possible locations to choose from. His assistantrecommends that he use break-even analysis location technique to help determine whichlocation is best based on costs. Assuming: Total fixed cost = 80,000 Price per unit= 20 AVC (Average variable cost) = 40 Break-even point= Total fixed cost / (AVC-Price per unit) Break-even point = 80,000/ (40-20) Break-even point = 4,000 1) Demonstrate to the OM manager how to go about choosing the best location using thenumerical example designed above.

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Quantity per Year Choice less than units Seattle between and units more than units en's manufacturing forecast for the foreseeable future is 30,000 units annually, where shoul best choice is