1. Cory and his mom did some market research and found that customer willingness to pay for fresh cookies was about $5 per order. they estimate the material and labor cost of producing a dozen cookies to be $3 per order. what is the value gap?

2. Following the last question, if they priced a dozen at $5 per dozen: how much value does the customer capture?

3. Following the last question, how much value does the seller (Cory's) capture?

4. What is the total length of time spent in a process, including waiting and processing at each of the intermediate steps, called?

5. In the HOC Case, what will be the process capacity if only the oven's capacity increases to 8 trays (or 8 dozen) per hour? (Assume the capacities all other entities stay the same as given in the case. Also assume that the system processes different kinds of cookies).