Company assembles and then tests two models of drones

Assignment Help Operation Management

Reference no: EM131465257

A company assembles and then tests two models of drones, aerial and land-based. For the upcoming month, the company wants to decide how many of each model to assemble and then test. No drones are in inventory from the prior month, and because these models are going to be changed after this month, the company doesn’t want to hold inventory after this month.

It believes the most it can sell this month are 600 aerial and 1100 land-based drones. Each aerial drone sells for $300 and each land-based drone sells for $450. The cost of components for aerial is $150; for land-based is $225. Labor is required for assembly and testing.

There are at most 9,000 assembly hours and 3500 testing hours available. Each labor hour for assembling costs $14 and each labor hour for testing costs $13.

Each aerial requires 7 hours for assembling and 2 hours for testing, and each land-based requires 5 hours for assembling and 3 hours for testing.

Now the company would like to add a third drone called marine that the company can produce in addition to aerial and land. Each marine requires 8 hours for assembling, 3 hours for testing, $275 for component parts and it sells for $470. The most marine drones that can be sold are 50.

The company wants to know how many of each model it should produce (assemble and test) to maximize its net profit.

Use Excel linear programming to find the best mix of drones that stays within the company’s labor availability and maximum sales constraints

Reference no: EM131465257

Questions Cloud

Examine the renaissance baroque and romanticism movements : Examine the following five movements Renaissance, Baroque, Romanticism, Impressionism and Modernism. The name and time period of the movement.

Identify the advantages to outsourcing project work : Describe the key activities carried out in the Closing stage of the project life cycle from a procurement perspective-Identify the four advantages.

Company manufactures product consisting of three components : ABC company manufactures a product consisting of three components. The company manufactures the first and second components but supplies the third component fro

Determine the plates natural frequency : Figure shows a plate with mass m = 2000 kg that is supported by four identical columns that are cantilevered from the ground. Each column has length l = 2 m.

Company assembles and then tests two models of drones : A company assembles and then tests two models of drones, aerial and land-based. company wants to decide how many of each model to assemble and then test.

How should you decide whether to sell the product : what are the steps you would employ in reaching your decision? How does the theory of ethics that is applied affect your answer?

Allowable set up time assuming there is waiting at machine : What is the maximum allowable set up time assuming there is no waiting at the machine?

Briefly describe the parts of a risk management plan : Identify and briefly describe the parts of a Risk Management Plan-Describe the key risk management activities carried out in the Initiating stage.

Determine the inertia and stiffness matrices : The cantilever beam shown in Figure P5.76 has length L and a rectangular cross section with width a and height b. The rectangular thin plate mounted.

User Account

All Pages