Valuate the production quantity, Operation Management

Assignment Help:

Using the data, suppose the manufacturer has an inflated demand forecast as follows:

Quantity Probability

2,200 5%

2,300 6%

2,400 10%

2,500 17%

2,600 30%

2,700 17%

2,800 12%

2,900 3%

(a) Suppose the manufacturer is make-to-order (timing of events as in 9(b). Using you contract in Question 9(b)(ii), find the order quantity, and expected profits of the distributor and of the manufacturer. Compare your answer with 9(b)(ii).

(b) Suppose the manufacturer is make-to-stock (timing of events as in 9( c ).using your contract in Question 9 ( c)(ii), find the production quantity, expected profits of the manufacturer and of the distributor. Compare your answer with 9 (c )(ii)

(c) If you are the distributor and you have the choice of revealing the true demand forecast or inflated demand forecast to the manufacturer, what will you do in each case? Explain


Related Discussions:- Valuate the production quantity

Explain the employer is not vulnerable to a charge, Albert is an assistant ...

Albert is an assistant store manager for a national discount retailer. When Albert was denied a promotion to store manager he filed a claim based on religious discrimination with t

Description of the setting as well as participants, Being a minority (Afro-...

Being a minority (Afro-American) in a class non-minority spending three months in this class I need to describe the following: Prepare a report of your discoveries by answering the

Calculate a profit and loss statement, Calculate a profit and loss statemen...

Calculate a profit and loss statement and balance sheet (including calculating a missing figure. Capital): Asset, liability, owner's equity, revenue and expense amounts for Almo

Determine the full study sample size, 1. An element of work has been measur...

1. An element of work has been measured 6 times, with the following results (units of 0.01 minutes): 18, 20, 19, 21, 19, 22. What should be the full-study sample size?  Answer:

Why raw material dell has on hand at the end of the year, Using the data fr...

Using the data from the Dell Computer annual report determine how Dell calculated the four days supply of raw materials. Do you think four days supply is a valid representation of

How to prepare for career advancement, After reviewing the chapter, suggest...

After reviewing the chapter, suggest all possible ways that Scott can prepare herself for career advancement

Explain ethical principle each violates, Identify three potential unethical...

Identify three potential unethical actions or inactions related to decision analysis and the ethical principle each violates?

Explain critical risk regardless of progect size or scope, Select three top...

Select three top most critical risk regardless of progect size or scope. Justify your selection. Suggest strategies for the manager to address each type of risk selected.

Is true that a mpc can run independent of the operation plan, Which of the ...

Which of the following is true? MPC can run independent of the operation plan. Business failure can result from poor MPC performance. In PAC, order release directly affect

Describe potential for increased profit, Which of the following is a criter...

Which of the following is a criterion used for selecting a target segment? Potential for increased profit Similarity of needs of potential buyers within a segment Differen

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