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QUESTION 11 Based on Little’s Law An automobile company assembles cars in a plan

ID: 385293 • Letter: Q

Question

QUESTION 11

Based on Little’s Law

An automobile company assembles cars in a plant and purchases batteries from a supplier at the cost of $45/battery. The average flow time of cars from start to finish in the plant is 12 hours and the plant assembles 600 cars/day, operating 24 hours/day. Each car uses one battery and the cars are shipped to the dealers soon after they are made. The company holds 2400 batteries in raw material inventory at the plant as a buffer. How many days of supply are held in raw material inventory on average?

less than 1 day

between 1.01 and 3 days

between 3.01 and 7 days

7.01 days or more

QUESTION 12

At hospital A there are on average 60 births per week. Mother and child stay, on average, two days before they leave the hospital. At hospital B the average number of births per week is 120. Mother and child stay, on average, two days before they leave the hospital. The directors of the two hospitals want to unify the maternity wards of the two hospitals. The average number of births (120+60) and the length of the stay of the new mother and child (two days) will not change. What is average number of new mothers staying in the unified ward?

Less than 18

Between 18.01 and 35

Between 35.01 and 50

More than 50.01

A.

less than 1 day

B.

between 1.01 and 3 days

C.

between 3.01 and 7 days

D.

7.01 days or more

Explanation / Answer

Ans : Days of inventory = buffer stock / consumption per day

= 2400 / 600 = 4 days.

Hence c is correct.

Ans 2 : Avg deliveries per day = 180/7 = 25.7 = 26 per day

Since each mother stays for 2 days, avg number on any day will be twice the no. of deliveries per day i. e. 26x2 =52

D is correct.

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