Explain what should susan recommend, Operation Management

Assignment Help:

Susan Gilbert, a purchasing agent for Wisconsin Plastic Inc (WSI) is reviewing quotations from suppliers for a new plastic gear. Susan plans to either place an order for 12000 years from a supplier with the least cost quotation or recommend that WSI purchase the necessary equipment and make the gear itself.

Relevant data for this make-or-buy decision are found below-

Make Buy

Fixed Cost of Equipment $60000 0

Variable cost per part $16 $20

What should Susan recommend? Make or Buy? Why? Choose one.

What should Susan recommend if the order size is increased by 25%? Make or Buy? Why?


Related Discussions:- Explain what should susan recommend

Explain formulate a marketing mix plan, Formulate a marketing mix plan for ...

Formulate a marketing mix plan for a travel agency by constructing a minimum of three marketing objectives and goals for each of the marketing mix components, product, price, distr

Explain effective applications, "Effective Applications" Please respond to ...

"Effective Applications" Please respond to the following: •Discuss the types of organizational culture changes (especially within the medical staff) that will have to take place in

Explain pipeline transportation system for treated water, The network in fi...

The network in figure below shows the pipeline transportation system for treated water from the treatment plant (node 1) to a city water supply system (node 14). The arc capacities

Explain the effective integration of information, Q. Explain the effective ...

Q. Explain the effective integration of information in enterprise-wide systems. Enterprise-wide systems enable the consequence on various enterprise support resources or busine

Find out the nash equilibrium, In a project, executive and boss are working...

In a project, executive and boss are working together. The executive can be sincere  or insincere, and the Boss can either reward or penalize. The executive gets no advantage for b

Cellular manufacturing, Hi, How to design a cell layout after forming the p...

Hi, How to design a cell layout after forming the part families and machine routing sequence. Is there any algorithm/heuristics/ mathematical models available to do it ? Please hel

Evaluate the team''s performance, Question: CASE STUDY You have been...

Question: CASE STUDY You have been newly appointed as team leader of a Management department consisting of 5 team members. The team has not been performing well in the pa

Process Layout, Assignment of Process layout of any company

Assignment of Process layout of any company

What factors are likely cause faults in valuing google stock, The managemen...

The management and Directors of Google have stated that there is no plan for Google to ever pay dividends. Yet, the stock trades at a very high price in dollar terms (around $490 p

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd