Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

How to solve this ? Better Gardens Sdn. Bhd, has a factory manufacturing garden tools in Shah Alam. The company sells its garden tools to

How to solve this ? image text in transcribed

Better Gardens Sdn. Bhd, has a factory manufacturing garden tools in Shah Alam. The company sells its garden tools to distributors as well as directly to hardware stores and DIY outlets in the whole of Klang Valley. The six most popular small garden tools which the company manufactures are digging forks, hand trowels, hoes, rakes, spades, and shovels. Each of these tools is made from durable steel and has a wooden handle. The manufacturing process of these tools goes through two stages. The first stage includes two operations-stamping out the metal tool heads and drilling screw in them. The completed tool heads then proceed to the second stage, which includes an assembly operation where the handles are attached to the tool heads, a finishing step, and packaging. The processing times per tool for each operation are provided in the following table: The company has 1, 200 square meters of sheet steel available each month. The unit price and the metal required for each tool and the monthly contracted sales are provided in the following table: The company's director wishes to ensure that the monthly sales demand is met on time and he uses scientific techniques to run his As a result, he is willing to use overtime production in order to meet its sales requirements, and the company also has an arrangement with a local tool and die company to manufacture the tool heads if needed. The company feels comfortable subcontracting the first stage operations because it is easier to detect defects prior to assembly and finishing. However, the company does have 150 hours of overtime available each month for each operation in both stages. The regular production and overtime costs per tool for both stages are provided in the following table: The cost of subcontracting in stage 1 adds 30% to the regular production cost. The company wants to establish a production schedule for regular and overtime production in each stage and for the number of tool heads subcontracted, to maximize its monthly profit. (a) Formulate a complete linear programming model in algebraic form that shows the individual constraints and decision variables for this problem. (b) Formulate this same model on an Excel spreadsheet. Then the Excel Solver to solve the model. (c) Based on your solution in part (b) what are the most critical resources in the production process? (d) Using the sensitivity report produced in your Excel solution, discuss the implications if there are changes in the critical resources identified in part (c) INSTRUCTIONS: CREATE AN EXCELFILE WITH SHEET 1 CONTAINING SOLUTION TO QUESTION I. PART(b) (iv) with h = 0.5. SHEET 2 CONTAINING SOLUTION TO QUESTION 1. PART (b) iv) with h = 0.05 SHEET 3 CONTAINING SOLUTION TO QUESTION 2 PART (b) NAME YOUR EXCEL FILE AS "STUDENTID.XLSX" AND UPLOAD YOUR EXCEL FILE TO ELEARN. SUBMIT THE REST OF THE ASSIGNMENT IN ARD COPY. -END OF PAPER

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

Real Estate Finance

Authors: Wolfgang Breuer, Claudia Nadler

2012th Edition

3834934496, 978-3834934499

More Books

Students also viewed these Finance questions

Question

what are the provisions in the absence of Partnership Deed?

Answered: 1 week ago

Question

1. What is called precipitation?

Answered: 1 week ago

Question

1.what is dew ?

Answered: 1 week ago