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Assume that in 2006, Eye Associates (Problem S7.9) has 8 machines, each capable of producing 2,500 lenses per year. However, the new and best machine then on the market has the capability of producing 3,000 per year. a) What is the status of capacity at the firm in the year 2011 ifit buys the new and best machine in 2006? b) What is the status of capacity at the firm in the year 2011 if it buys in 2006 the standard machine with a capac- ity of 2,500?

Operation Management, Management Studies

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