Research analysis

QUESTION ( 1)

A canning company produces two sizes of cans – regular and large. The cans are produced in 10,000-can lots. The cans are processed through a stamping operation and a coating operation. The company has 30 days available for both stamping and coating. A lot of regular-size cans requires 2 days to stamp and 4 days to coat, whereas a lot of large cans required 4 days to stamp and 2 days to coat. A lot of regular-size cans earn $800, and a lot of large-size cans earn $900 profit. In order to fulfill its obligations under a shipping contract, the company could produce at most nine lots. The company wants to determine the number of lots to produce of each size cans (X1 and X2) in order to maximize profit.

Let’s Assume:

X1: Number of regular cans

X2: Number of large cans

a)  Max: 800X1+900X2

S.t:  

2X1+4X2≤30

4X1+2X2≤30

X1+X2≤9

X1 , X2 ≥ 0

b)Optimum mix:  X1=3,  X2=6

     Profit: 7800

c) According to shadow prices:

Stamping time resource is fully utilized

Coating time resource is not fully utilized

The resource pertained to number of cans is fully utilized

d) Since the shadow price of stamping resource is 50 (<60) , it is not worth hiring additional unit of this resource

QUESTION (2)

Mr Nazri an MBA student at UNITELE is designing a questionnaire survey to assess the policy aspects of pricing and market demand for the transport services provided by his company.  He has identified the following tasks to be carried out in order to carry out the survey successfully.

a)

[pic 1]

b)

c)

Critical Path: BDEGH

Time: 53

Variance: 11.1111

d) ????????????????????????????????????????????????????????????????

QUESTION (3)

The Royal Selangor Pottery Company has orders to be completed next week for three of its products namely mugs, cups and bowls as indicated in the following table.

        There are three production sites, A, B and C. All three can produce each of the products at the same production rate.  However, the unit costs of these products vary depending upon production site being used.  The unit costs of each of the production sites are given in the following table.

Production sites A, B and C are located 100 km, 50 km and 80 km, respectively from the central distribution center. Irrespective of the type of item, the cost of transportation an item is one cent per km.

Furthermore, it is known that capacity for next week for production sites B and C is 3000 units whereas the capacity for production site A is 2000 units.

The manager wants to know the production schedule that would minimize the total cost.

a)

b)

c) Yes, there is multiple solutions

The reason is because there is one (0) in marginal costs table that means there is an alternative solution with the same total transportation cost.

...