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PART C. Marks: 25 You are the new operations management trainee at Niagara Motors. They have a complex production process involving the following steps: Drawing, extrusion, winding, inspection and packaging. After inspection, good product is packaged and sent to the 3 warehouse for shipping, but defective product is sent to be reworked. The major source of defective product is from the winding process, resulting in a total of 5% of all product being defective. Right now, there are more orders than they can fill. There is an inspection from head office coming in May, and they want to look as profitable as possible for the month closing in April. Determine the best possible production outcome for April. Details are provided in the Niagara Motors file. Here is a summary of the data available to you. April orders: Product W0075C Product W00230 Product W0005X Product WO007X Note that you have promised your best customer that you will deliver promised amounts Standard Costs Overhead Selling price Product Material Labour Product W00750 Product W00330 Product W0005X Product W6007X (Hint: you might find it helpful to calculate profit) Labour Hours Product Drawing Extrusion Product W0075C Product W0033 Product WD005X Product WOOX Winding Packaging Plant Capacity (Hours) Drawing Extrusion Winding Packaging Note that inspection time is not a problem overtime is available as necessary. Some helpful information about the plant Average output is 2400 units per month Average machine utilization is 63% Reind employees are available to help out in the drawing department of required E G N H14 JX F A D B 1 Niagara Motors 2 3 APRIL ORDERS 4 Product W0075c 1400 5 Product W00330 250 6 Product W0005x 1510 7 Product W0007x 1116 8 9 Note that Niagara Motors has promised their best customer the following during April: 10 Product W0007x 550 11 Product W00750 120 12 13 14 Standard Costs (In $ per item) 15 Product Material Labour Overhead Selling Price 16 Product W00750 33.5 9.9 23.1 100 17 Product W00330 24.5 7.5 17.5 80 18 Product W0005x 35 10.5 24.5 130 19 Product W0007x 75 11.25 63.75 175 20 21 Plant Capacity (hours) 22 Drawing Extrusion Winding Packaging 23 4050 4200 2000 2300 24 25 Bill of Labour (hours/unit) 26 Product Drawing Extrusion Winding Packaging 27 Product W0075 1 1 1 1 28 Product W00330 2 1 3 29 Product W0005x o 30 Product W0007x 1 1 31 32 33 34 35 36 4 DOW ON 27 McCall Data Set Nlagara Motors Surrey Sleigh Workbook Statistics

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