Problem 1 (Ref: Q.2, p.400 of textbook):
a) Determine which delivery alternative would be the most economical
for 80 boxes of parts. Each box costs $200 and annual holding cost is
30 percent of cost. Freight costs are:
Alternative
Freight cost (for all 80

Problem 1 (Ref: Q. 18-2, p702 of textbook):
A vending machine dispenses hot chocolate or coffee. Service duration
is 30 seconds per cup and is constant. Customers arrive at a mean rate
of 80 per hour (assume Poisson). Also assume that each customer buys
o

Problem 1 (Ref: Q. 10-3, p352):
Process time at a workstation is monitored using sample mean and range
control charts. Six samples of n = 10 observations have been obtained and the
sample means and ranges computed (in minutes):
a) Using the factors in Tab

Problem 1 (Ref: Q. 13-6, p 498-499):
A company produces a variety of sofas. The manager wants to prepare
an aggregate production plan for the next six months using the
following information:
There are 5 workers, each making 30 sofas a month. The maximum
n

Problem 1 (Ref: Q. 3-2, p103 of textbook):
A can opener manufacturer has had monthly sales for a seven-month period as
follows:
a) Plot the data
b) Forecast Septembers sales volume using each of the following:
1) A linear trend equation
2) A four month mo

Problem 1 (Ref: Q. 12.3, p451 of textbook):
A large bakery buys flour in 25 kg bags. The bakery uses an average of 4,860
bags a year. Preparing an order and receiving the shipment of flour bags
involves a cost of $10 per order. Annual holding cost is $5 p