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

Explain europe and japan to adopt the new product, What triggered the new p...

What triggered the new product strategy at Minnesota Biolabs? 2. What prediction would you make for the success of getting the country general managers in Europe and Japan to adopt

Explain strategic marketing and marketing management, The major differences...

The major differences between strategic marketing and marketing management are A) The leadership style and mission B) The products manufactured C) The type of advertising

Explain the ten commandments of america culture, Go toto gmi.org and search...

Go toto gmi.org and search for "The Ten Commandments of America Culture." The list presents ten sayings that represent commonly accepted American cultural values. Think about how t

Production control function, Production control Function 1. Dispatchi...

Production control Function 1. Dispatching : Dispatching may be  defined as setting  production activities in motion through  the  release  of orders ( work order shop order)

Describe understand all the numbers in the table, Could you please explain ...

Could you please explain to be how the point of prediction is computed in problem 14.48 (question b) from Essentials of Business Statistics. I understand all the numbers in the tab

Master production scheduling, Master Production Scheduling The master s...

Master Production Scheduling The master schedule ( or master production schedule of MPS) sets the quantity of each end item (finished product) to be completed in each time peri

Explain what are competencies, What are "competencies?" Explain, and provid...

What are "competencies?" Explain, and provide two or three examples.

Explain what changes in culture are needed at the plaza inn, 1. How could t...

1. How could the Plaza Inn develop a collaborative strategy? Develop a specific plan. 2. How could technology help solve the problems at the front desk? Explain what you propose

Product layout - disconnected flow, Product Layout - Disconnected Flow ...

Product Layout - Disconnected Flow any products or components (eg toys, shoes, many electronic components) are required in volumes which do not justify continuous operation,

I want examples of some of these that are associated stories, I need exampl...

I need examples of some of these that are associated with the university. Liberty University. I know what they are i just need help with stories or exaples of these things that are

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