Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Based on the dataset., what are unit costs for each period by using Least Unit Cost Heuristic method? An item is manufactured to meet known

Based on the dataset., what are unit costs for each period by using Least Unit Cost Heuristic method?

An item is manufactured to meet known demand for four periods according to the following data : Unit production cost (Euro per period) Production range (units) Period 1 Period 2 Period 3 Period 4 Machine 1 : 1-3 1 2 2 3 Machine 2 : 4-11 1 4 5 4 Machine 3 : 12-15 2 4 7 5 Machine 4 : 16-25 5 6 10 7 Unit holding cost to next period (Euro) 0.3 0.35 0.2 0.25 Total demand (units) 11 4 17 29 Conditions: 1. Each machine has production minimum and maximum capacity according to its production range. 2. Demand in each period must be satisfied within one period. 3. In each period, a machine cannot be used more than once.

  • A. Period 1 : $ 1.08; Period 2 : $ 0; Period 3 : $6.23 ; Period 4 : $0
  • B. Period 1 : $ 1; Period 2 : $ 4; Period 3 : $6.03 ; Period 4 : $0
  • C. Period 1 : $ 1; Period 2 : $ 4; Period 3 : $6.23; Period 4 : $5.72
  • D. Period 1 : $ 1; Period 2 : $ 3.99; Period 3 : $0; Period 4 : $5.72

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Strategic Management Concepts

Authors: Frank Rothaermel

2nd edition

77645065, 1259384071, 9780077645069, 978-1259384073

More Books

Students also viewed these General Management questions

Question

What do you think?

Answered: 1 week ago

Question

LO 11-3 Summarize the five steps in human resource planning.

Answered: 1 week ago