Operation Management

1. Susan Meyer, owner/manager of Meyer’s Motor Court in Key West, is considering outsourcing the daily room cleanup for
her motel to Duffy’s Maid Service. Susan rents an average of 50 rooms for each of 365 nights (365 × 50 equals the total rooms rented for the year). Susan’s cost to clean a room is $12.50. The Duffy’s Maid Service quote is $18.50 per room plus a fixed cost of $25,000 for sundry items such as uniforms with the motel’s name. Susan’s annual fixed cost for space, equipment, and supplies is $61,000. Which is the preferred process for Susan, and why?

2. A plant has an effective capacity of 900 units per day and produces 800 units per day with its product mix; what is its efficiency?

3. A work center containing 4 machines of equal capability operates 2 shifts per day 5 days per week (8 hours per shift). This
is the effective capacity. If the work center has a system efficiency of 95%, what is the expected output in hours per week?

4. Janelle Heinke, the owner of Ha’Peppas!, is considering a new oven in which to bake the firm’s signature dish, vegetarian
pizza. Oven type A can handle 20 pizzas an hour. The fixed costs associated with oven A are $20,000 and the variable costs are $2.00 per pizza. Oven B is larger and can handle 40 pizzas an hour. The fixed costs associated with oven B are $30,000 and the variable costs are $1.25 per pizza. The pizzas sell for $14 each.
a) What is the break-even point for each oven?
b) If the owner expects to sell 9,000 pizzas, which oven should she purchase?
c) If the owner expects to sell 12,000 pizzas, which oven should she purchase?
d) At what volume should Janelle switch ovens?

5. Dr. Aleda Roth, a prolific author, is considering starting her own publishing company. She will call it DSI Publishing, Inc.
DSI’s estimated costs are:
Fixed $250,000.00
Variable cost per book $20.00
Selling price per book $30.00

How many books must DSI sell to break even? What is its break even point in dollars?

6. James Lawson’s Bed and Breakfast, in a small historic Mississippi town, must decide how to subdivide (remodel) the
large old home that will become its inn. There are three alternatives:

Option A would modernize all baths and combine rooms, leaving the inn with four suites, each suitable for two to four adults.
Option B would modernize only the second floor; the results would be six suites, four for two to four adults, two for two adults only.
Option C (the status quo option) leaves all walls intact. In this case, there are eight rooms available, but only two are suitable for four adults, and four rooms will not have private baths.
Below are the details of profit and demand patterns that will accompany each option:

Annual Profit under Various Demand Patterns
Alternatives High p Average p
A (modernize all) $90,000 .5 $25,000 .5
B (modernize 2nd) $80,000 .4 $70,000 .6
C (status quo) $60,000 .3 $55,000 .7

a) Draw the decision tree for Lawson.
b) Which option has the highest expected value?

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with AssignmentHelpWeb
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Business Studies
Job well done. Finish paper faster than expected. Thank you!
Customer 452451, October 3rd, 2022
Excellent services will definitely come back
Customer 452441, September 23rd, 2022
Thanks a lot the paper was excellent
Customer 452453, October 26th, 2022
The paper was EXCELLENT. Thank you
Customer 452449, September 23rd, 2022
Business Studies
Thank you!
Customer 452451, November 27th, 2022
English 101
Very good job. I actually got an A
Customer 452443, September 25th, 2022
Job well done and completed in a timely fashioned!
Customer 452451, November 18th, 2022
excellent loved the services
Customer 452443, September 23rd, 2022
Architecture, Building and Planning
The assignment was well written and the paper was delivered on time. I really enjoyed your services.
Customer 452441, September 23rd, 2022
Customer reviews in total
Current satisfaction rate
3 pages
Average paper length
Customers referred by a friend
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat