Question: Capacity Question (5 marks) Note: Please show your detailed calculation steps and round to 2 decimal places Kit company producing school fom. Since the demand
Capacity Question (5 marks) Note: Please show your detailed calculation steps and round to 2 decimal places Kit company producing school fom. Since the demand for uniform is expected to increase in the coming four years, the supply chain manager is malyring fie capacny requirements. The company currently has four production machines, cach capable of producing 2.000 uniforma per year. Two () employees we needed to opere each macht. The demand forecast for the coming two years is as follows: 7000 m Year 1 and 10500 in Year 2 1. Calculate capacity utilization, machine requirement and labor requirement in years 1 & 2. (3 marks) 2. Comment on capacity requirements in year 1. (1 mark) 3. Do you think that the company needs to increase its capacity (machines and labor) in year 2 If yes how many additional machines and employees are required? (1 mark) Capacity Question (5 marks) Note: Please show your detailed calculation steps and round to 2 decimal places Kit company producing school fom. Since the demand for uniform is expected to increase in the coming four years, the supply chain manager is malyring fie capacny requirements. The company currently has four production machines, cach capable of producing 2.000 uniforma per year. Two () employees we needed to opere each macht. The demand forecast for the coming two years is as follows: 7000 m Year 1 and 10500 in Year 2 1. Calculate capacity utilization, machine requirement and labor requirement in years 1 & 2. (3 marks) 2. Comment on capacity requirements in year 1. (1 mark) 3. Do you think that the company needs to increase its capacity (machines and labor) in year 2 If yes how many additional machines and employees are required? (1 mark)
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