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I) 1b) The CNCStar company makers of CNC equipment have just introduced a new line of CNC lathes. What is the implied by 100% learning curve? Is it possible or not? Why or why not?Based on past experience, the company expects an 80 percent learning curve to apply to the manufacturing *me for these lathes.

The +rst unit required 1000 hours to produce. CNCStar es*mates that each hour of produc*on *me cost an average of $80,000.Based on this fact and desire to produce 20 of the these lathes,

II) How long will it take to produce the company's +rst ten (10) units?

III) How long will it take to produce all the 20 units?

IV) What is the amount of extra *me that would be expended were there 100% learning curve?

V) what will be the total produc*on cost of these machine assuming an 80% learning curve

VI) What is the implied by 100% learning curve? Is it possible or not? Why or why not?

2) Each E subassembly is made up of three G parts, two H parts and one J part. Draw the products structure tree diagram. Using the product structure tree diagram and the informa*on provided below, complete the following MRP record transac*on processing for part E and part G only if the following is provided:

ESubassemblyGPartHPartJPartOrder lot size 400 800 1000 1200

Lead Time 0 WK 1 WK 2 WKS 2 WKS

On Hand 200 300 700 700

Safety Stock 100 50 150 400

Scheduled Recepit 1000,200 500,900 600 500

Part E1 2 3 4 5 6Gross Requirement1500 1200 800 1000 900 600

Scheduled Receipt1000 200

Available 200Net RequirementPlanned

Order ReceiptPlanned order release1 2 3 4 5 6

Gross RequirementScheduled Receipt500 900

Available

Net Requirement

Planned Order Receipt

Planned order release

Operation Management, Management Studies

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