b$)$ Monthly demand $($in thousands$)$ for component parts is as follows:

i$)$ Plot these observations.

ii$)$ Estimate the best methods of forecasting future demands.

Question $4$:

a$)$ Suppose that we are considering the installation of a small computer to accomplish internal task of payroll computation, invoicing, and other routine accounting. The purchase price is quoted as $$300,000$ and the salvage value five years later is expected to be $$100,000.$ The operating costs are expected to be $$100,000$ per year, mainly for personnel to program, operate, and maintain the computer. What is the present value of the costs to own and operate the computer over its five$-$year economic life? The value of money in the arganization is $15\%.$

b$)$ An aggressive marketer of a new office copier has made its machine available for

sale as well as lease. The idea of buying a copying machine seems revolutionary, but less so when we examine our present costs, which come to $$6,500$ per year for lease plus per copy charges of $2$ cents per page. If we own a machine, the cost of paper and maintenance is projected to be $$1,500$ per year. The new copier costs $$10,000,$ installed, and is assumed to have an economic life of flve years and a salvage value of $$2,000.($assume $50,000$ pages per year$).$

i$)$ What is the projected unadjusted rate of return if we install the copier?

ii$)$ If incremental taxes for the project are $$1,000,$ what is the adjusted rate of

return?

Question $5$:

Consider a robot cell with machines B$,$ C$,$ and D$.$ An input conveyor brings the part to the pick up point A and the output conveyor is represented by point E$.$ Each part

undergoes an operation on B$,$ followed by C$,$ and followed by D$.$ The operation times on B$,$ C$,$ D are given by $9\mathrm{.}1,9\mathrm{.}0,$ and $5\mathrm{.}0$ min., respectively. Also, the gripper pull$-$up time $=0\mathrm{.}1$min, and the gripper release time $=0\mathrm{.}1$min. The robot move times in minutes are given by the table below. Compute the cycle time and the production rate for this system.

How will cycle time and production rate change if there are two robots, with robot $1$ handling all operations from A to C and robot $2$ handling all operations from C to E $?$