Question
Knott's Industries manufactures standard and super premium backyard swing sets. Currently it has four identical swing-set-making machines, which are operated 250250 days per year and
Knott's Industries manufactures standard and super premium backyard swing sets. Currently it has four identical swing-set-making machines, which are operated 250250 days per year and 8 hours each day. A capacity cushion of 1515 percent is desired. The following information is also known:
Standard Model Super Premium Model
Annual Demand: 20,000 10,000
Standard Processing Time: 5 min 17 min
Average Lot Size: 60 25
Standard Setup Time per Lot: 30 min 45 min
a. Does Knott's have sufficient capacity to meet annual demand?
b. How many machines are needed?
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