TRSP $401$

Homework $3($Chapters $10$ & $12)$

Individual Assignment. Due: April $18,2024$

$1.$ For the information given, rank the customers in terms of customer lifetime value.

$$Avg$.$ Annual Sales$$Avg$.$ Profit Margin$$Expected Lifetime

Customer A: $$$$2,50017\%8$ years

Customer B:$$$$4,00012\%6$ years

Customer C:$$$$1,20030\%12$ years

Use a discount rate of $6$ percent and treat the average sales figures as annuities. Should any of these customers be fired?

The Valentine Ski Company makes top$-$of$-$the$-$line custom snow skis for high$-$end ski shops and employs fifteen people at $$20$ per hour. Chris, the owner, wants to track several productivity performance measures using the data shown below.

$2.$

Financial Information

$2021$ Results

Net sales

$$205,000$

Cost of goods sold $($purchased items$)$

$$32,000$

Net income after taxes

$$28,200$

Current assets

$$68,000$

Current liabilities

$$22,000$

Avg. inventory value

$$4,500$

Inputs and Outputs

Skis produced

$1,000$

Labor hours

$10,800$

Lease payments

$$24,000$

a$.$ Calculate the labor productivity, lease productivity, and material productivity.

b$.$ Calculate the multiple$-$factor productivity. If the multiple factor productivity for $2020$ was $0\mathrm{.}004$ skis$/$dollar$,$ then what was the productivity growth from $2020$ to $2021?$

$3.$ Corner$$s Cat Care needs help in her grooming business as shown below for the $5-$day workweek. Determine a full and part$-$time work schedule for the business using the fewest number of workers.

Monday

Tuesday

Wednesday

Thursday

Friday

Workers

$2$

$3$

$3$

$4$

$5$

$4.$ For the office layout shown below determine the closeness desirability rating using the rating table below. Treat the hallway as if it doesn$$t exist $($i$.$e$.,$ the Production and Accounting Departments touch each other$).$ Can you find a more desirable layout? What would be the improved desirability rating score?

$5.$ A salon can handle twenty customers per hour. Using data from the past few months, the salon owner determines that the customer arrival rate averages about $6$ customers per hour. What would be the operating characteristics of the salon$$s single channel, single phase queuing system.