Mathematics, 20.09.2020 05:01 dlr1628
4. Analysis and Making Production Decisions
You have now provided your company's management with powerful tools that model the cost of
production in the three factories. When you get an order for a certain number of units, you can be
informed of the cost that would be incurred by each factory if chosen to fulfill the order. In reality, the
decision must also consider many other factors, but in our scenario, we want to fill our orders at the
lowest average cost per unit. Consider each of the following questions as a separate, unrelated day of
business.
a.
On Monday, you have a single request: Order A for 15,000 units. It must be fulfilled by a single
factory. To which factory do you send the order? Explain your decision. Support your argument
with numbers. (10 points)
Answers: 3
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4. Analysis and Making Production Decisions
You have now provided your company's management with po...
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