Solve the following practical questions (10 marks each) Capacity Planning A media center monst determine how many digital processors are required to maintain an output of 200 good points per hour. The set up and exposure can theoretically be done in 2 minutes per print, but operators are on the average only 90 percent efficient, and in addition, 5 percent of the prints must be scrapped and redone. Also, the processors can be utilized only 70 percent of time. (a) What is the required system capacity in prints per hour? (b) what average output per hour can be expected from each processor, taking its use factor and efficiency into account? () How many processors are required? SOLUTION CHAPTER 10: Strategic Capacity Break-even Point A professional sports promoter leases a 40,000 seat stadium for soccer games. Tickets sell for an average of $14 each Iffixed costs per season (four games) are $720,000 and variable costs are $2 per spectator, what is the break-even point in number of seats filled per game? SOLUTION w