htm r5 Homework Problem 5-9 A company manufactures a product using machine cells

Question

htm r5 Homework Problem 5-9 A company manufactures a product using machine cells. Each cell has a design capacity of 250 units per dey and an effective capacity of 230 units per day At present, actual output averages 200 units per cell, but the manager estimates thet productivity improvements soon will increase output to 228 units per day Annual demand is currenty 80,000 units It is forecasted that within two years, annual demand will triple How many cells should the company pian to acquire to satisfy predicted demand under these conditions? Assume that no celts currently exist Assume 241 workdays per year (Round up your answer to the next whole number.) cess-

Explanation / Answer

Units Design capacity 250 per day Effective capacity 230 per day Actual Output 200 per day After production improvement 228 per day No of working days 241 Current demand 80000 units forcast demand 240000 units No of forecast demand/day 995.9 units No of cell Required 4.4 No of cell required next whole number 5

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