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A company that produces pleasure boats has decided to expand one of its lines. Current facilities are insufficient to handle the increased workload, so the company is considering three alternatives, A (new location), B (subcontract), and C (expand existing facilities). Alternative A would involve substantial fixed costs but relatively low variable costs: fixed costs would be $250,000 per year, and variable costs would be $500 per boat. Subcontracting would involve a cost per boat of $2,500, and expansion would require an annual fixed cost of $50,000 and a variable cost of $1,000 per boat.
a. Find the range of output for each alternative that would yield the lowest total cost. (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to the nearest whole number.)
A. _______ Or moreb. ________ to _______c.________ to _______
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Utilizing a simple three-month moving average, find out the July forecast. Utilizing single exponential smoothing with α = 0.2 also a June forecast = 13, find out the July forecast. Make illustrate whatever assumptions you wish. List these assumpti..
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