Question: Problem 4.10: Consider a 3-machine Bernoulli production line defined by conventions (a)-(e) of Subsection 4.2.1. Assume Ni = 1, i = 1, 2, and p1p2p3

  1. Problem 4.10: Consider a 3-machine Bernoulli production line defined by conventions (a)-(e) of Subsection 4.2.1. Assume Ni = 1, i = 1, 2, and p1p2p3 = (0.8)3.

    1. Under this constraint, find pi, i = 1, 2, 3, which maximize P Rd. (You may use the trial and error method and the PSE Toolbox to accomplish this.)

    2. For these pi, calculate W IP \, BLdi and STc i. What can you say about W IP \? Interpret the results and formulate a conjecture concerning the optimal allocation of pis.

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