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Green Forever (see Problem) has decided to add an automatic string feeder system with cost and revenue estimates as shown below to the GF Deluxe model.

a) What is the new revenue retrieval value for each model?

b) Which model is the better environmental design alternative?

Part

Resale Revenue Per Unit

Recycling Revenue Per unit

Processing Cost Per Unit

Disposal Cost per Unit

String feeder system

$1.05

$1.25

$1.50

$1.40

Problem - Green Forever, a manufacturer of lawn equipment, has preliminary drawings for two grass trimmer designs. Charla Fraley's job is to determine which is better environmentally. Specifically, she is to use the following data to help the company determine:

a) The revenue retrieval for the GF Deluxe.

b) The revenue retrieval for the Premium Mate.

c) Which model is the better design alternative based on revenue retrieval.

GF Deluxe

Part

Resale Revenue Per Unit

Recycling Revenue Per unit

Processing Cost Per Unit

Disposal Cost per Unit

Metal drive

$3.27

$4.78

$1.05

$0.85

Battery

0.00

3.68

6.18

3.05

Motor housing

3.93

2.95

2.05

1.25

Trimmer head

1.25

0.75

1.00

0.65

Premium Mate

Part

Resale Revenue Per Unit

Recycling Revenue Per unit

Processing Cost Per Unit

Disposal Cost per Unit

Metal drive

$3.18

$3.95

$1.15

$0.65

Battery

0.00

2.58

4.98

2.90

Motor housing

4.05

3.45

2.45

1.90

Trimmer head

1.05

0.65

1.10

0.75

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92169331

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