Question
Eli Lilly, 9-692- 056 case study : Selected Harvard case studies will be divided among teams of two students for modeling and analysis. The purpose
Eli Lilly, 9-692- 056 case study : Selected Harvard case studies will be divided among teams of two students for modeling and analysis. The purpose of these projects is to deepen students understanding of Operations Management problems and techniques
1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | |||
Year | Annual volume (kg) | Unit cost savings | (1) * (2) Annual variable cost savings | Capital costs without Plan 1 | Capital costs with Plan 1 | (4) - (5) Annual capacity savings | Increase in process development costs | (3) + (6) - (7 ) Total net annual savings | Present value of total net annual savings | Year - launch year (1984) | Net present value from 1985 (@20%) |
1985 | 10,000 | ||||||||||
1986 | 10,000 | ||||||||||
1987 | 10,000 | ||||||||||
1988 | 10,000 | ||||||||||
1989 | 25,000 | ||||||||||
1990 | 25,000 |
please show calculations!
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started