The production line in a manufacturing factory is depicted by the graph below
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The production line in a manufacturing factory is depicted by the graph below

SECTION D - NUMERICAL EXERCISES

Question 17

What are the missing values?
A =
B =
C =

Question 18
The production line in a manufacturing factory is depicted by the graph below. The factory operates 24/7 in three 8- hour shifts, 6am-2pm, 2pm-10pm, and 10pm-6 am. Workstation A is able to process 200 units per hour, Workstation B is able to process 50 units per hour, and Workstation C is able to process 500 units per hour. It is the first day of their operations!

How many finished products have been produced by 10 am?
How much inventory has been created between A and B at 2 pm?
How much inventory has been created between B and C at 2 pm?
If the machine in workstation A has a breakdown at 10pm, how long (how many hours) it will take to find out at workstation B due to lack of materials?

Question 19
A water distributor sells 300 5lt tanks per month and purchases in quantities of 900 per order. The cost accounting department has analysed inventory costs and has determined that the cost of placing an order is £20 and the annual cost of holding one 20lt tank in inventory is £4.
How much money will the company save by switching to EOQ?

Question 20
Need to mark 700 exam scripts in 5 days (working 7 hours a day). Takes 1 hour to mark a script. How many markers (people marking) do we need?

Question 21
What is the missing value?


Hint
Management"Q. 20700 scripts need to be marked in 5 days. If one works for 7 hours each day, then 700 scripts should be completed in 35 hours (7x 5). One person can mark a script in one hour. Therefore, he/she would complete the scripts in 700 hours, but we need in done in 35 hours. So, we will in need of 20 people to finish the task in 5 days. "...

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