Question: LO 7 - 2 , 7 - 3 , 7 - 4 , 7 - 6 Bruno Fruscalzo decided to set up a small production

LO7-2,7-3,7-4,7-6
Bruno Fruscalzo decided to set up a small production facility in
Sydney to sell to the local restaurants who want to offer gelato on
their dessert menu. To start simple, he would offer only three flavors
of gelato: fragola (strawberry), chocolato (chocolate), and bacio
(chocolate with hazelnut). After a short time, he determined his
demand and setup times, listed in Table 7.6.
TABLE 7.6
Bruno first produces a batch of fragola, then a batch of chocolato,
then a batch of bacio, and then he repeats that sequence. For example,
after producing bacio and before producing fragola, he needs 45
minutes to set up the ice cream machine, but he needs only 10
minutes to switch from chocolato to bacio. When running, his ice
cream machine produces at the rate of 50 kilograms per hour no
matter which flavor it is producing (and, of course, it can produce
only one flavor at a time).
a. Suppose they operate with a production cycle of 150 kilograms (50
kilograms of fragola, 75 kilograms of chocolato, and 25 kilograms
of bacio). What is the capacity of the gelato-making process (in
kilograms per hour)?
b. Suppose they operate with a production cycle of 150kgs(50
kilograms of fragola, 75 kilograms of chocolato, and 25 kilograms
of bacio). What is the utilization of the gelato-making process?
c. Suppose they operate with a production cycle of 150 kilograms (50
kilograms of fragola, 75 kilograms of chocolato, and 25 kilograms
of bacio). What is the average inventory of chocolato?
d. Suppose Bruno wants to minimize the amount of each flavor
produced at one time while still satisfying the demand for each of
the flavors. (He can choose a different quantity for each flavor.) If
we define a batch to be the quantity produced in a single run of
each flavor, how many kgs should he produce in each batch?
e. Given your answer to part (d), how many kgs of fragola should he
 LO7-2,7-3,7-4,7-6 Bruno Fruscalzo decided to set up a small production facility

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