Question

Suppose a resource has setup times and a setup time must be incurred each time the...

Suppose a resource has setup times and a setup time must be incurred each time the resource switches production to a different product. Requiring the resource to make a new product (which requires its own setup) is likely to have what effect on the process?
Inventory for existing products remains the same but the process must now carry inventory of the new product.
Inventory of all products is likely to increase.
Inventory of existing products decreases even though the process must now carry inventory of the new product.
Inventory of products with short setup times will decrease while inventory of products with long setup times will increase.
0 0
Add a comment Improve this question Transcribed image text
Answer #1

The correct option is Inventory of all products is likely to increase as cycle time would increase which will lead to increase in inventory increase.

Do give a positive rating if you think this answer helped

Add a comment
Know the answer?
Add Answer to:
Suppose a resource has setup times and a setup time must be incurred each time the...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Needing the correct answer to both questions. Thanks! Answer is not complete. Suppose a resource has...

    Needing the correct answer to both questions. Thanks! Answer is not complete. Suppose a resource has setup times and a setup time must be incurred each time the resource switches production to a different product. Requiring the resource to make a new product (which requires its own setup) is likely to have what effect on the process? °Inventory for existing products remains the same but the process must now carry inventory of the new product. OInventory of all products is...

  • Reduce Setup Time Vernon Inc. has analyzed the setup time on its computer-controlled lathe. The setup...

    Reduce Setup Time Vernon Inc. has analyzed the setup time on its computer-controlled lathe. The setup requires changing the type of foxture that holds a part. The average setup time has been 140 minute consisting of the following steps 15 minutes Turn off machine and remove foture from lathe 15 Go to tool room with foture 18 Record replacement of fixture to tool room 20 Return to lathe 20 Clean lathe 20 Return to tool room 12 Record withdrawal of...

  • Block Island TV currently sells large televisions for​ $380. It has costs of​ $320. A competitor...

    Block Island TV currently sells large televisions for​ $380. It has costs of​ $320. A competitor is bringing a new large television to market that will sell for​$360. Management believes it must lower the price to​ $360 to compete in the market for large televisions. Marketing believes that the new price will cause sales to increase by​ 10%, even with a new competitor in the market. Block Island TV sales are currently​ 150,000 televisions per year. What is the change...

  • 9. Rational Treatment of Cancer (16 pts total) You are a cutting edge oncologist who has treated a cancer patient with I...

    9. Rational Treatment of Cancer (16 pts total) You are a cutting edge oncologist who has treated a cancer patient with Ireesa. The patient went into remission for several years but their cancer has now come back. You also have a cancer research lab in which you study drugs like Ireesa. You are also in the process of applying to the FDA for approval for a new clinical trial but you must first answer the following questions: a) What type...

  • Respond to case study 12A, and answer thediscussion questions at the bottom of the case study....

    Respond to case study 12A, and answer thediscussion questions at the bottom of the case study. Case 12A Mrs. Johns is 92 years old. For her age, she is in relatively good health. She has a heart condition that is treated medically. Two years ago, she declined a surgical fix to her heart blockage, cit- ing concerns and risks about how surgery could affect her overall cont. case 12A cont quality of health. She is now wheelchair bound and lives...

  • how? Victor Company makes a single product. The company has monthly fined consta $700.000 Vale costs...

    how? Victor Company makes a single product. The company has monthly fined consta $700.000 Vale costs of 5.30 per unit. Each unit of product is sold for $35. Brevard expects to sell 25.000 min 2. What is the monthly operating profil 19. Refer a chibit $175.000 S675.000 None of the answer claices is correct sales price increases to percent Refer to Exhibit 2. What would be the operating profit if the S112. 23.500 None of the answer choices is correct...

  • Ferryman Products manufactures coffee tables. Ferryman Products has a policy of adding a 20% markup to...

    Ferryman Products manufactures coffee tables. Ferryman Products has a policy of adding a 20% markup to full costs and currently has excess capacity. The following information pertains to the company's normal operations per month: Output units 30,000 tables Machine-hours 8,000 hours Direct manufacturing labour-hours 10,000 hours Direct materials per unit $100 Direct manufacturing labour per hour $12 Variable manufacturing overhead costs $322,500 Fixed manufacturing overhead costs $1,200,000 Product and process design costs $900,000 Marketing and distribution costs $1,125,000 What is...

  • Zando Pharmaceuticals is an affiliate of the German-based Heisenberg Corporation, which employs 40,000 worldwide. Zando’s St....

    Zando Pharmaceuticals is an affiliate of the German-based Heisenberg Corporation, which employs 40,000 worldwide. Zando’s St. Louis facility houses the U.S. corporate headquarters and Research and Development (R&D). It produces 30 products, using 28 different batch processes. The facility has 2,000 employees on-site. In recent years, Zando’s profitability has suffered, which can be attributed to increased competition, customer dissatisfaction, and regulatory pressures. Luis Alvarado, president of Zando, called a meeting to consider ways to improve profitability. He labeled the meeting...

  • 1. The process is performed by several resources. 2. Resources are shared across assembly lines (i.e.,...

    1. The process is performed by several resources. 2. Resources are shared across assembly lines (i.e., workers must multitask and perform multiple activities for every flow unit.) 3. The resource that limits hourly production is not the same resource that limits the process lead-time. From 2002 to 2009, Honda’s 1800cc cruiser-style motorcycle, the VTX1800, was assembled in Marysville, Ohio from four major subassemblies. The following is a simplified explanation of the assembly process. All resources are indicated in bold.   •...

  • Your Assignment ·     You are an outside consulting organization who has been retained by the CEO to...

    Your Assignment ·     You are an outside consulting organization who has been retained by the CEO to fix the problems and make sure the mandate is driven throughout the organization. identify what strategic initiatives and changes you will recommend and the tactics to implement those strategies and changes based on this case study New Product Development Process Improvement Case Study Background:          Horizon Giftables, Inc. is a 35-year-old consumer products company that manufactures and distributes home accessory products and décor items through...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT