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    Fixed Cost (CF) Variable Cost (CV) Price (P)

    Uploaded by

    Teja Mullapudi
    The document provides cost and revenue information for two different production processes (Process A and Process B) at various output volumes, showing Process A to have lower total costs and be more profitable over the range of volumes shown. It also includes data on inputs, outputs, and productivity for an old and new facility, showing a 6.44% increase in multifactor productivity for the new facility. Finally, it shows supply and demand data for multiple supply points with the optimal supply point having an x-value of 375.641 and y-value of 366.0256.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd

    Fixed Cost (CF) Variable Cost (CV) Price (P)

    Uploaded by

    Teja Mullapudi
    38 views9 pages
    The document provides cost and revenue information for two different production processes (Process A and Process B) at various output volumes, showing Process A to have lower total costs and be more profitable over the range of volumes shown. It also includes data on inputs, outputs, and productivity for an old and new facility, showing a 6.44% increase in multifactor productivity for the new facility. Finally, it shows supply and demand data for multiple supply points with the optimal supply point having an x-value of 375.641 and y-value of 366.0256.

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    The document provides cost and revenue information for two different production processes (Process A and Process B) at various output volumes, showing Process A to have lower total costs and be more profitable over the range of volumes shown. It also includes data on inputs, outputs, and productivity for an old and new facility, showing a 6.44% increase in multifactor productivity for the new facility. Finally, it shows supply and demand data for multiple supply points with the optimal supply point having an x-value of 375.641 and y-value of 366.0256.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    38 views9 pages

    Fixed Cost (CF) Variable Cost (CV) Price (P)

    Uploaded by

    Teja Mullapudi
    The document provides cost and revenue information for two different production processes (Process A and Process B) at various output volumes, showing Process A to have lower total costs and be more profitable over the range of volumes shown. It also includes data on inputs, outputs, and productivity for an old and new facility, showing a 6.44% increase in multifactor productivity for the new facility. Finally, it shows supply and demand data for multiple supply points with the optimal supply point having an x-value of 375.641 and y-value of 366.0256.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
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    Fixed Cost(cf) 2000 dollars

    Variable Cost(cv) 50 dollars per board


    Price(p) 100 dollars

    TC TR Profit
    10 2500 1000 -1500
    20 3000 2000 -1000
    30 3500 3000 -500
    40 4000 4000 0
    50 4500 5000 500
    60 5000 6000 1000

    Process B Process A
    Fixed Cost(cf) 10000 Fixed Cost(cf) 2000
    Variable Cost(cv) 30 Variable Cost(cv) 50
    Price(p) 100 Price(p) 100

    Volume TC(A) TC(B)


    0 2000 10000
    200 12000 16000
    400 22000 22000
    600 32000 28000
    800 42000 34000
    Chart Title
    7000

    6000

    5000

    4000

    3000

    2000

    1000

    0
    10 20 30 40 50 60

    TC TR
    New Value Units
    Labor Hours 308 hours
    Capital 350 $
    Energy 150 $
    Material cost 1000 $/100logs
    Labor cost 3080 $
    Output 260 crates/100 logs

    Multifactor Productivity 0.056769

    Old Value Units


    Labor Hours 300 hours
    Capital 350 $
    Energy 150 $
    Material cost 1000 $/100logs
    Labor cost 3000 $
    Output 240 crates/100 logs

    Multifactor productivity 0.053333

    % increase in MP 6.441048
    Period Actual Demand X Y X*Y X*X Forecast
    Year 1: Q1 200 165 33000 40000 163.3684753
    Year 1: Q2 235 184 43240 55225 181.23308547
    Year 1: Q3 210 180 37800 44100 168.47264964
    Year 1: Q4 197 145 28565 38809 161.837223
    Year 2: Q1 225 190 42750 50625 176.12891114
    Year 2: Q2 240 169 40560 57600 183.78517264
    Year 2: Q3 217 180 39060 47089 172.04557167
    Year 2: Q4 225 170 38250 50625 176.12891114
    1749 1383 303225 384073

    n 8

    Chart Title
    200
    180
    160
    140
    120
    100
    80
    60
    40
    20
    0
    1 2 3 4 5 6 7 8

    Y Forecast
    Linear Equation
    Y = 61.285 + 0.51042 X
    Y = a + b X

    x-bar 218.625 Period X Demand


    y-bar 172.875 Year 4: Q1 150 137.8476
    b 0.51042 Year 4: Q2 250 188.8893
    a 61.285 Year 4: Q3 15 68.94125
    Year 4: Q4 16 69.45167
    Supply Points X Y Annual Supply
    A 125 550 200 Old Facility
    B 350 400 450
    600 550
    C 450 125 175
    500
    D 700 300 150 400
    400
    975 300
    Xc 375.641 366.0256 300

    Yc 366.0256 200 125


    100
    0
    0 100 200 300 400 500 600 700
    d Facility New Facility
    600
    500
    400
    400
    300
    300

    125 200
    100
    0
    400 500 600 700 800 0 100 200 300 400 500 600 700 800
    a. Efficiency 92%
    Total time 180 secs
    No. of Workstations 4
    Cycle time 48.913043 secs

    b. Cycle time 48.913043


    No. of hours 8
    Available time 28800 secs
    o/p required 588.8 units

    c. Efficiency 79%
    Total time 180 secs
    No. of Workstations 5
    Cycle time 45.56962 secs

    d. Cycle time 45.56962


    No. of hours 8
    Available time 28800 secs
    o/p required 632 units

    Increase in production 7.34%


    Time 28800 sec Work Element Time
    o/p Required 192 units A 20
    Total time 200 sec B 20
    C 35
    D 35
    E 20
    F 20
    Cycle Time 150 G 15
    No. of Workstations 1.333333333 2 H 35

    B E C
    J
    A F I

    G H

    Work Station Element Time Idle Time


    1 A,B,D 145 5
    2 E,G 140 10
    3 150
    4 150
    5 150

    Efficiency 67%
    Balance Delay 33%

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