Question: Ops. chap 3. Q5 UUR HALER PRACTICE ANOTHER Gulf Coast Electronics is ready to award contracts to suppliers for providing reservoir capacitors for use in
Ops. chap 3. Q5
UUR HALER PRACTICE ANOTHER Gulf Coast Electronics is ready to award contracts to suppliers for providing reservoir capacitors for use in its electronic devices. For the past year con Electronics has relied on two suppliers for its reservoir capacitors: Able Controls and Lyshenko industries A new tum. Doston Components, singured in the possibility of providing a portion of the reservoir capacitors needed by Gulf Coast The quality of products provided by Lyshenko Industries has been extremely high in fact, only 0.5% of the capacitors provided by Lyshenko had to be discedes because of quality problems. Able Controls has also had a high quality level historically producing an average of only I unacceptable capacitors ecc Electronics has had no experience with Boston Components, it estimated Boston Components' defective rate to be 104 Gulf Coast would like to determine how many reservoir capacitors should be ordered from each firm to 75.000 acceptable quality capacitors to electronic devices. To ensure that Boston Components will receive some of the contract, management specified that the volume of reservoir cochons wanted to Boston Components must be at least 10% of the volume given to Able Control In addition, the total volume assigned to Boston Components, Able Controls, and Lyshenko Industries should not exceed 30,000, 50.000 and 5.000 to respectively. Because of Gulf Coast's long-term relationship with Lyshenko Industries, management als socihed that at least 30.000 cars should be from Lyshenko The cost per capacitor 52.45 for Boston Components $2.50 for Able Controls and $2.75 for Lyshe Industries ta) Formulate a linear program for deterring how many reservoir capacitors should be ordered from each upplies to the total cost og.c00 acceptable quality reservoir capacitors. (Let - number of capacitors ordered from boston components. A number of capacitos dered from Able and number of capacitors ordered from Lyshenko Industries.) Min volume for Boston volume for Able volume for Lyshenko useful capacitors Boston relative to Able Lyshenko minimum 8. AL20 Solve the linear program to determine how many reservoir capacitors should be ordered from each supletound your wrth Boston Components capacitors Able Controls capacitors Lyshenko Industries Capacitors (b) Suppose that the quality level for reservoir capacitors supplied by Boston Components is much better than estimated, with a defective rate of 2. What elect, any, would this quality level have? The optimal solution would change with Lyshenko Industries being assigned the maximum of 50,000 reservoir capacitors The optimal solution would change with 7,526 reservoir capacitors assigned to Boston Components. The optimal solution would change with 30,000 reservoir capacitors assigned to Boston Components The optimal solution would remain the same (c) Suppose that management is willing to reconsider their requirement that at least 30,000 capacitors must be ordered from shek Industries any, would this consideration have on the solution in part (a) The total cost will decrease about 50.16 for every unit the required minimum is reduced ty, for at least 25.140 capacitors The total cost will decrease about $2.54 for every unit the required minimum is recuced by, with a lower limit on how much the remote reduced The total cost will decrease about $0.22 for every unit the required minimum is reduced by, for at least 21,101 capacitat Reducing the requirement will not change the total cost of obtaining the reservor capacitors


Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
