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Question 3 : Arbogast Printing Press needs more folding capability. They could do it inhouse with their older equipment or go with an outside vendor.

Question 3 : Arbogast Printing Press needs more folding capability. They could do it inhouse with their older equipment or go with an outside vendor. Their fixed costs are $152,000 and the variable cost per fold is $1.69. The vendor will do the folding for $4.12 per fold. They need 100,000 folds. Should they keep it in-house or outsource it? Question 4 : Nagle Hoops assembles basketball backboards and poles. They have an assembly line that uses 8 workstations. Management wants an output of 225 backboards per day using an 8- hour workday. The sum of the task times is 14 minutes per backboard. a. What is the cycle time? b. What is the assembly-line efficiency? c. What is the total idle time?

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