Question: Identifying and managing unused capacity continuation of 13 18 Refer to Exercise

Identifying and managing unused capacity (continuation of 13-18). Refer to Exercise 13-18.
Required
1. Calculate the amount and cost of unused administrative capacity at the beginning of 2011, based on the actual number of customers Roberto served in 2011.
2. Suppose Roberto can only add or reduce administrative capacity in increments of 250 customers. What is the maximum amount of costs that Roberto can save in 2011 by downsizing administrative capacity?
3. What factors, other than cost, should Roberto consider before it downsizes administrative capacity?




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  • CreatedNovember 15, 2011
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