West Digital in Singapore has two manufacture lines to produce server hard disk drives (HDDs). The...
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West Digital in Singapore has two manufacture lines to produce server hard disk drives (HDDs). The manufacturing process of the products through assembly, burn-in test, performance test, and packaging and distribution is shown Figure Q2. The monthly production capacity at each assembly line (in 1000s of HDDs) is shown at nodes 1 and 2. The burn-test facilities at nodes 3, 4 and 5, performance test facilities at nodes 6, 7, 8 and 9, and Packaging & Distribution at nodes 10 and 11 have capacities of HDDs produced (1000s of HDDs) as shown in the figure. The various assembly, burn-in test, and performance test costs per unit (one HDD) at each facility are shown in the following table: Facility Manufacture unit cost ($) The monthly demand for the hard disk drives is 4,200. 1 2 3 4 5 3.0 4.0 1.6 1.8 1.4 9 10 11 0.6 0.5 6 7 8 1.7 0.8 1.0 1.2 Assembly 1 2.2 2 2.1 Burn-test 3 1.3 4 1.5 5 1.7 Performance test 6 1.2 7 1.0 8 1.1 9 0.95 Packaging & Distribution Figure Q2 Production flow of hard disk drives 10 2.1 11 2.3 Tasks: 1) Formulate a linear programming model that indicates the numbers of hard disk drives that must be delivered from a production facility to the subsequent production facilities, respectively, in order to meet the monthly demand at the minimum cost. (7.5 marks) 2) Solve this model by using a program to get solution to the numbers of HDDs delivered from a production facility to the subsequent facilities, respectively. (7.5 marks) 3) Interpret the results obtained in 2) to assist in determining numbers of HDDs that should be delivered from each facility node to the subsequent facility nodes, respectively. (5 marks) West Digital in Singapore has two manufacture lines to produce server hard disk drives (HDDs). The manufacturing process of the products through assembly, burn-in test, performance test, and packaging and distribution is shown Figure Q2. The monthly production capacity at each assembly line (in 1000s of HDDs) is shown at nodes 1 and 2. The burn-test facilities at nodes 3, 4 and 5, performance test facilities at nodes 6, 7, 8 and 9, and Packaging & Distribution at nodes 10 and 11 have capacities of HDDs produced (1000s of HDDs) as shown in the figure. The various assembly, burn-in test, and performance test costs per unit (one HDD) at each facility are shown in the following table: Facility Manufacture unit cost ($) The monthly demand for the hard disk drives is 4,200. 1 2 3 4 5 3.0 4.0 1.6 1.8 1.4 9 10 11 0.6 0.5 6 7 8 1.7 0.8 1.0 1.2 Assembly 1 2.2 2 2.1 Burn-test 3 1.3 4 1.5 5 1.7 Performance test 6 1.2 7 1.0 8 1.1 9 0.95 Packaging & Distribution Figure Q2 Production flow of hard disk drives 10 2.1 11 2.3 Tasks: 1) Formulate a linear programming model that indicates the numbers of hard disk drives that must be delivered from a production facility to the subsequent production facilities, respectively, in order to meet the monthly demand at the minimum cost. (7.5 marks) 2) Solve this model by using a program to get solution to the numbers of HDDs delivered from a production facility to the subsequent facilities, respectively. (7.5 marks) 3) Interpret the results obtained in 2) to assist in determining numbers of HDDs that should be delivered from each facility node to the subsequent facility nodes, respectively. (5 marks)
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Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young
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