Question: Question 1: Improving Bicycles Assembly Line The following process is used to assemble bicycles. The process is fully automated, and the capacity rate of each
Question 1: Improving Bicycles Assembly Line The following process is used to assemble bicycles. The process is fully automated, and the capacity rate of each machine is given in the parentheses: Currently there is one machine at each station. The demand is currently averaging about 15 units per hour, so you would like to purchase additional machines in the attempt to more fully satisfy demand. Suppose you have a budget of $5,000, and the cost of the four machines is given as follows: Assume that, for all four machines, any additional machine purchased will have the same capacity as the current one. Please come up with a plan, specifying how you are going to spend the $5,000 budget and what is the maximum increase in process capacity that you can achieve within budget Can you match the demand of 15 units per hour now? If not, how much
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
