Why expected profit to be positive, Operation Management

Assignment Help:

A job shop receives an order for high precision formed parts. The cost of producing each part is approximately $20,000. The customer requires that either 4 or 5 good parts be supplied. Each good part sold will yield $30,000. However, if fewer than 4 good parts are produced, none will be purchased. The probability of an individual part being acceptable to the customer is .80. 1/ Determine the optimum batch production quantity given that the job shop has agreed to supply the formed parts. 2/ Is the situation a profitable one for the job shop? I 3/ If not, how must the selling price be changed for the expected profit to be positive?


Related Discussions:- Why expected profit to be positive

Assignment, transformation process in an organization

transformation process in an organization

Explain what is an interim plan, Answer the following questions: 1) ...

Answer the following questions: 1) What is the difference between a task dependency and a task constraint? 2) Give a real-world situation when you might used the foll

Explain what are three factors that affect capacity usage, What are three f...

What are three factors that affect capacity utilization? Provide examples.

Explain strategic quality management process, Why is the deployment phase o...

Why is the deployment phase of the strategic quality management process crucial to the achievement of an organization's vision? What are the roles of feedback in the strategic qual

Why university refused to pay the card charges on the ground, Type your The...

Type your The University of North is the major state university. The University was preparing for its upcoming re-accreditation, so the University board set aside extra funds to ma

Explain information systems, Write an essay of between 750-1000 words, doub...

Write an essay of between 750-1000 words, double-spaced, on the topic of information systems being leveraged to create competitive advantage for the business. Use well-known indust

Describe the aspects of total quality management, Discuss the aspects of To...

Discuss the aspects of Total Quality Management (TQM) and how they apply in service- and product-based businesses.

Explain when managing organizational change, When managing organizational c...

When managing organizational change, which would be more effective in overcoming resistance to change: rational persuasion, leader-follower relationship, both, or something else

Objectives of production and operation management, Objectives of Production...

Objectives of Production and Operation Management Production is an organized activity in a manufacturing organization. Each organized activity should spell out its objectives so

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