Question: I need this problem to be solved in an excel sheet. Please add screenshots from excel and add formulas, calculations used. Thank you 1. Borges
I need this problem to be solved in an excel sheet. Please add screenshots from excel and add formulas, calculations used. Thank you
1. Borges Machine Shop, Inc., has a 1-year contract for the production of 200,000 gear housings for a new off-road vehicle. Owner Luis Borges hopes the contract will be extended and the volume increased next year. Borges has developed costs for three alternatives. They are general-purpose equipment (GPE), flexible manufacturing system (FMS), and expensive, but efficient, dedicated machine (DM). The cost data follow: Which process is best for this contract? 2. Using the data in Problem 1, determine the most economical volume for each process. 3. Using the data in Problem 1, determine the best process for each of the following volumes: (1) 75,000 , (2) 275,000, and (3) 375,000. 4. Refer to Problem 1. If a contract for the second and third years is pending, what are the implications for process selection? 5. Stan Fawcett's company is considering producing a gear assembly that it now purchases from Salt Lake Supply, Inc. Salt Lake Supply charges $4 per unit, with a minimum order of 3,000 units. Stan estimates that it will cost $15,000 to set up the process and then $1.82 per unit for labor and materials. a. Draw a graph illustrating the crossover (or indifference) point. b. Determine the number of units where either choice has the same cost
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