QUESTION 39 Refer to Problem #4 in question 33 What are the total costs (purchase costs + operating costs) of machines of type A? QUESTION 40 Refer to Problem #4 in question 33 What are the total costs (purchase costs + operating costs) of machines of type B? PROBLEM #4: Capacity Requirements Planning A company sells 3 products. Machine A or machine B can be used to manufacture all of them. A machine of type A costs $56,000. A machine of type B costs $62,000. Further, suppose that it costs $12.65 for machine A, and $16.85 for machine B for every working hour in terms of operating costs. The efficiency rating of type A machine is 0.86, and type B machine, 0.92 The demand rates for the products and the processing times in minutes are given below. Processing Time in Minutes Annual Product Demand Type A Machine Type B Machine 12 min unit P1 58.000 15 min unit P2 72,000 11 min unit 8 min unit P3 54,000 9 min unit 6 min unit Calculate the number of machines of each type required to meet the entire demand and identify the type with the lowest total costs (ie. purchase costs + operating costs). Assume that there are 250 working days in a year, with 9 hours in each day Answer the following questions. (Hint: To calculate the total operating costs, multiply the total working hours of each type of machines by the hourly operating costs.) 11 throduct on tune machines