Lecture material link: https://www.youtube.com/watch?v=2WA4oH5s9CE
Course textbook Link: https://myebooks.mheducation.com/bookshelf/ebooks
Study Questions below:
1. How do capacity decisions influence productivity? Give an example to explain your point.
2. How are manufacturing and nonmanufacturing location decision similar? Different?
3. From the Week 4 lecture and OM Text Chapter 11, explain how the aggregate plan/SOP involves capacity planning.
4. Chapter 5, #3, page 209. A producer of pottery is considering the addition of a new plant to absorb the backlog of demand that now exists. The primary location being considered will have fixed costs of $9,200 per month and variable costs of 70 cents per unit produced. Each item is sold to retailers at a price that averages 90 cents. A) What volume per month is required in order to break even? B) What profit would be realized on a monthly volume of 61,000 units? C) What profit would be realized on a monthly volume of 87,000 units? D) What volume is needed to obtain a profit of $16,000 per month?
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