For each alternative include the impact on TRIMs
profit. Rank the alternatives and indicate your choice. Be sure to explain the rationale behind your choice.
A. 7500 WLRMs Revenue Material cost Labor Cost Total Profit 750000 450000 225000 How much more? N/A N/A N/A N/A N/A N/A Unit #Of moves set up hours Units Meet? 938 Meets 1875 Meets 1 Meets 1 Meets of of machine hours 26250 Meets C Can use Machine hours while avoiding costs Can use DL hours while avoiding costs direct labor hours 500 Meets Capacity 10000 WLRMs Machine hours DL Hours 1000000 600000 Material cost Labor Cost Extra Total Profit 800000 200000 Units Meet? How much more? NIA Extra costs 1250 Meots 2500 Need C ofmoves set up hours 500 1Meets 1 Meets 35000 Meets 2000 More C N/A machine hours NIA Uses Machine hours to produce 500 60000 Wil not use Direct Labor to produce units so cost is avoided 20000 BBs DL Hours Machine Hours 1000000 1000000 Material cost Labor Cost Extra Total Pro 600000 Units Meet? How much more Extra costs #ot moves 500 Meets 1000 Meets Meets set up hours N/A of machine hours 30000 Meets NIA 01 Uses Machine hours to produce 4000 More 2500 20000 Wil not use Direct Labor to produce units so cost is avoided D. 20,000 BBs and 10,000 WRLMs Material cost Labor Cost Extra Total Profit Meet? How much more? N/A Units Extra coats 1750 Meets 3500 More H of moves set up hours Needed 1500 200000 2 Meets 2 Meets 30000 Meets N/A NA NA of of machine hours Using Machine hours to produce BBs direct labor hours 2000 More Needed 500 0000 Using DL hours to produce WRLMs 20,000 BBs and 7,500 WRLMs 1750000 750000 825000 Material cost Labor Cost Extra Total Prost Unit #ot moves set up hours Units Meet? How much more? N/A Extra costs 1438 Meets 2875 More 2 Meets 2 Meets 35000 Meets 1500 Meets Needed 875 200000 ol NA N/A N/A NA Uses Machine hours to produce BBs Uses DL Hours to produce WRLM machine hours direct labor hours 20000 BBs Using Machine Hours Revenue Material cost Labor Cost Extra Capacit Total Profit 1000000 0 100000 Unit U # of moves set up hours Units Capacity Meet? How much more can we use 500 1000 2500 2000 2000 1000 es of products es of products machine hours 30000 30000 1500 direct labor hours 1500 WRLMs How many WRLM are we able to use without having to produce more "Set up Hours". Revenue Material cost Labor Cost Total Profit 400000 -240000 120000 40000 Total overall profit: 140000 Producing 20,000 BBs and 4,000 WRLMs it the best combination as it achives 140,000 in profit A. 7500 WLRMs Revenue Material cost Labor Cost Total Profit 750000 450000 225000 How much more? N/A N/A N/A N/A N/A N/A Unit #Of moves set up hours Units Meet? 938 Meets 1875 Meets 1 Meets 1 Meets of of machine hours 26250 Meets C Can use Machine hours while avoiding costs Can use DL hours while avoiding costs direct labor hours 500 Meets Capacity 10000 WLRMs Machine hours DL Hours 1000000 600000 Material cost Labor Cost Extra Total Profit 800000 200000 Units Meet? How much more? NIA Extra costs 1250 Meots 2500 Need C ofmoves set up hours 500 1Meets 1 Meets 35000 Meets 2000 More C N/A machine hours NIA Uses Machine hours to produce 500 60000 Wil not use Direct Labor to produce units so cost is avoided 20000 BBs DL Hours Machine Hours 1000000 1000000 Material cost Labor Cost Extra Total Pro 600000 Units Meet? How much more Extra costs #ot moves 500 Meets 1000 Meets Meets set up hours N/A of machine hours 30000 Meets NIA 01 Uses Machine hours to produce 4000 More 2500 20000 Wil not use Direct Labor to produce units so cost is avoided D. 20,000 BBs and 10,000 WRLMs Material cost Labor Cost Extra Total Profit Meet? How much more? N/A Units Extra coats 1750 Meets 3500 More H of moves set up hours Needed 1500 200000 2 Meets 2 Meets 30000 Meets N/A NA NA of of machine hours Using Machine hours to produce BBs direct labor hours 2000 More Needed 500 0000 Using DL hours to produce WRLMs 20,000 BBs and 7,500 WRLMs 1750000 750000 825000 Material cost Labor Cost Extra Total Prost Unit #ot moves set up hours Units Meet? How much more? N/A Extra costs 1438 Meets 2875 More 2 Meets 2 Meets 35000 Meets 1500 Meets Needed 875 200000 ol NA N/A N/A NA Uses Machine hours to produce BBs Uses DL Hours to produce WRLM machine hours direct labor hours 20000 BBs Using Machine Hours Revenue Material cost Labor Cost Extra Capacit Total Profit 1000000 0 100000 Unit U # of moves set up hours Units Capacity Meet? How much more can we use 500 1000 2500 2000 2000 1000 es of products es of products machine hours 30000 30000 1500 direct labor hours 1500 WRLMs How many WRLM are we able to use without having to produce more "Set up Hours". Revenue Material cost Labor Cost Total Profit 400000 -240000 120000 40000 Total overall profit: 140000 Producing 20,000 BBs and 4,000 WRLMs it the best combination as it achives 140,000 in profit
