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Allen Inc. produces a specialty top-quality juice machine. The product, the JM50, requires four processes to be completed. Specifically, these processes are exterior construction, pulp

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Allen Inc. produces a specialty top-quality juice machine. The product, the JM50, requires four processes to be completed. Specifically, these processes are exterior construction, pulp filter insertion, painting, and packaging. Each function is performed at separate workstations with different completion ratios: Exterior construction can manufacture 100,000 juicer exteriors per day. Pulp filter insertion can install 25,000 filters every 6 hours. Painting can decorate 3,000 juicers every half hour. Packaging can package 5,000 juicers per hour. Each juice machine sold has a contribution margin of $60.00 Required: a) Which function is the bottleneck? Show computations b) How many JM 50 machines can Allen Inc. completely manufacture per month (assume an average of 30 days per month and 8 hours per day)? c) The manager for exterior construction has developed a new layout for the department, which would increase output by 5,000 exteriors each day. The cost to implement this proposal would be $150,000. Should Allen implement this proposal? d) The manager for pulp filter insertion has found a vendor who can install an additional 500 filters each 6 hours. This would add $600,000 in costs each month. Should Allen implement this proposal? Allen Inc. produces a specialty top-quality juice machine. The product, the JM50, requires four processes to be completed. Specifically, these processes are exterior construction, pulp filter insertion, painting, and packaging. Each function is performed at separate workstations with different completion ratios: Exterior construction can manufacture 100,000 juicer exteriors per day. Pulp filter insertion can install 25,000 filters every 6 hours. Painting can decorate 3,000 juicers every half hour. Packaging can package 5,000 juicers per hour. Each juice machine sold has a contribution margin of $60.00 Required: a) Which function is the bottleneck? Show computations b) How many JM 50 machines can Allen Inc. completely manufacture per month (assume an average of 30 days per month and 8 hours per day)? c) The manager for exterior construction has developed a new layout for the department, which would increase output by 5,000 exteriors each day. The cost to implement this proposal would be $150,000. Should Allen implement this proposal? d) The manager for pulp filter insertion has found a vendor who can install an additional 500 filters each 6 hours. This would add $600,000 in costs each month. Should Allen implement this proposal

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