Question

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nent part source selection, A prospective kitchen blender manufacturer gn that requires hard plastic gears between the electric motor and the cutting blade assembly. There are three alternatives for obtaining such parts: AlternativeA A molding specialty house can supply the parts for a price of $555 per thousand. The price includes the cost to design and to build the tools necessary units. The company must also spend $2100 on an engineering effort to review the design before allowing the supplier to begin production. The company must also spen thousand inspecting/counting the parts when they are delivered. to manufacture the gears; however, the minimum-order quantity is 21,000 d $45 per Alternative B Plant engineers can design, build and perform initial testing of a single cavity tool for $55.000. The gears can be made in the plant on a mold press at a total manufacturing cost of $222 per thousand. Inspection will be an additional $28 per thousand. Plant engineers can also use a continuous mold process that Alternative C costs S234,000 to design and build. The cost of each thousand parts would be $111 including inspection. Determine the preferred alternative, given a specific requirement level. Assume no time value of money, because the project is of short duration.

Answer 1

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Design Coat, 22 y 000 Pice f 10,000 unda aoood