Consider Problem 2.13 where, in this case, each process is capable of rework. Given the information in

Question:

Consider Problem 2.13 where, in this case, each process is capable of rework. Given the information in the following table, what is the input required to satisfy a demand of 1,000 units?

Process Defect Rate Rework Rate 1 3% 60%

2 5% 75%

3 7% 80%

Suppose that scrap costs are negligible, and rework costs are $2, $3, and $4, respectively.

Calculate the rework cost for producing the 1,000 units. What happens to the rework cost if the scrap rates on processes 1 and 3 are reversed? Does this result agree with that of Problem 2.13?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Facilities Planning

ISBN: 9780470444047

4th Edition

Authors: James A. Tompkins, John A. White, Yavuz A. Bozer, J. M. A. Tanchoco

Question Posted: