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A foundry receives an order for specialty castings. Cost of producing each casting is estimated to be $15,000. The customer requires that exactly 4 good castings be supplied. The customer will pay $20,000 for each good casting. If fewer than four good castings are available, none will be purchased. Each casting is produced independently and the probability of an individual casting being acceptable to the customer is .80. 1/ Develop the expected profit function to be maximized? 2/ Determine the production lot size that maximizes expected profit? 3/ Determine the lot size that will yield a probability of .90 of producing at least 4 good castings. What is the expected profit for the lot size obtained?
Why do you think major auto manufacturers do not build ambulances?
For a telephone survey, a marketing research group needs to contact at least 150 wives, 120 husbands, 100 single adult males, and 110 single adult females. It costs $2 to make a da
You have been asked to estimate the costs for a project to build an industrial power plant. Based on historical data, the steam turbine accounts for 30 percent of the total costs f
How is capacity management important in the organisation? Capacity management: Capacity management is a procedure which seeks to make sure that the organisation can contr
A small computer firm orders monitors for sale. The annual demand is 1300 per year. The holding cost is 10 percent of the value of the monitors on hand. Each time they order it cos
how to calculate individual productivity
Share a source you are planning to use in writing your Resource Scheduling Methods Analysis Paper. Provide an APA citation for the source. Provide a brief summary of the source, an
Resources: University Library, Kudler Fine Foods Virtual Organization Use the Virtual Organization link on the student website to access additional company information on Kudler
Optimal solutions to linear programming problems are found under probabilistic assumptions
Given the following data for a particular inventory item: Usage 500 units/week Ordering $40 per order Carrying Cost $.01 per unit per week Lead Time 3 weeks Price $.50 per unit a.
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