21 Questions
What does N stand for in the given content?
Number of machines required in production
Which factor does NOT influence the process and equipment selection?
Availability of skilled labor
What strategy involves producing at a constant rate and using inventory to absorb demand fluctuations?
Level production
In Capacity Planning, what is the purpose of establishing a company-wide game plan for allocating resources?
To allocate resources effectively to meet demand
What is the hiring cost per worker mentioned in the text?
$100 per worker
Which strategy involves maintaining resources for high-demand levels?
Peak demand
What does CAPP stand for in the context provided?
Computer Aided Process Planning
Which quantitative technique is NOT mentioned for Aggregate Production Planning (APP) in the text?
Simulation Analysis
What is the purpose of the Mixed Strategy in production planning?
To combine level production and chase demand strategies
What is the cost calculation formula for Level Production Strategy mentioned in the text?
Production cost + Inventory cost
What is the primary reason for economies of scale?
Spreading fixed costs over multiple units
When does the cost per unit of output rise as volume increases?
When diseconomies of scale take effect
At what point do diseconomies of scale start to take effect in the given example?
At a 400-unit plant
What is the result of producing more products and gaining experience in the best production methods?
Reduced costs per unit
What is the Best Operating Level?
The output that results in the lowest average unit cost
What is one of the ways to maximize the return on investment (ROI) for plant and machinery?
Making optimum investment in plant and machinery
What formula is used to calculate the number of machines required for a specific job?
N = (Standard time for job) X (Machine production capacity %) / (Machine capacity X Machine utilization %)
What is the standard time for a job on the milling machine, according to the given details?
6 minutes
How many jobs are to be produced, based on the given details?
70,000
What is the machine capacity, according to the given details?
2000 hours/month
What is the machine utilization rate, based on the given details?
90%
Learn how to maximize return on investment in plant and machinery by making optimal investments, utilizing production capacity, and determining the number of machines required for a specific job. Explore the relationship between investment, capacity utilization, and production efficiency.
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