manager must doodo which type of machine to buy, A, B, or C. Machine coats(por I

Question

manager must doodo which type of machine to buy, A, B, or C. Machine coats(por Indvidual machino) are as follow $50,000 $40,000 $70,000 Product forecasts and processing times on the machines are as follows PROCCESSING TIME P UNIT (minutes) Annual B. 18,000 225,000 3 15,000 49,000 a. Assume that only purchasing costs are being considered. Compute the total processing time required for each machine type to meet demand. how many of each machine type would be needed, and the resulting total purchasing cost for each machine type. The machines will operate 8 hours a day, 220 days a year. (Enter total processing times as whole numbers. Round up machine quantities to the next higher whole number. Compute total purchasing costs using these rounded machine quantitios. Enter the resulting total purchasing cost as a whole number. Omit the "$" sign,) Total processing time in minutes per machine: Number of each machine needed and total purchasing cost

Explanation / Answer

A B C Cost 50000 40000 70000 Product 1 18000 1 6 2 Product 2 25000 5 5 1 Product 3 15000 4 3 2 Product 4 9000 5 1 6 Total time Product 1 18000 18000 108000 36000 Product 2 25000 125000 125000 25000 Product 3 15000 60000 45000 30000 Product 4 9000 45000 9000 54000 Total procesing time 248000 287000 145000 A 248000 B 287000 C 145000 Available mins 105600 (60*8*220) no of machines cost A 3 $ 150000 B 3 $ 120000 C 2 $ 140000

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