Unformatted text preview: (accepting payment) = 30 minutes c. What is the hourly capacity? (20 points) 60/12=5 dozen/hour, or 60 cookies/hour. (You get partial credit if you have the following answers: 60/10=6 dozen/hour, 15pts (6030)/12+1=3.5 dozen/hour, 10 pts (6030)/10+1=4 dozen/hour, 5 pts) 2. News reported that the inventory of unsold new homes rose to 10months supply. If the annual demand for new homes is 960,000 units. How many unsold home are available? (40 points) Throughput rate = 960,000 units/year = 80,000 units/month (10pts) Little’s Law: WIP = Throughput time * Throughput rate (10pts) No credit for Little’s Law: Throughput time = WIP / Throughput rate WIP = Throughput time * Throughput rate = 10 * 80,000 = 800,000 units (20pts)...
View
Full Document
 Spring '07
 Vaitsos
 Management, Baking, Bottleneck, Throughput rate WIP, Kristine Cookies case, Kristine Cookies, Operations Management Fall

Click to edit the document details