1. Business
  2. Operations Management
  3. assume that kristen and her roommate have 300 days left...

Question: assume that kristen and her roommate have 300 days left...

Question details

Assume that Kristen and her roommate have 300 days left before they graduate. They sell two-dozen cookies for $7.85, the material costs are $1.20 per two-dozen and the packaging costs are $0.20 per two-dozen. Kristen is considering buying a second oven (just like the first one). She accepts orders for cookies in two dozens. (Assume every order is for two-dozen cookies.) If she gets the second oven, answer the following questions:

- What is the bottleneck operation?

- What are the cycle times and capacities for each operation?

- What is the throughput time for an order?

- What is the maximum number of cookies (in dozens) that can be made in one evening?

- What is the value of the new oven assuming no cost of labor?

Additional info:

Mixing Batter - 6 mins for any no. of cookies

Sponning batter - 2min/dozen

Baking - 6mins/dozen

Cooling - 5 mins (but here it will be considered as 0, because space is not a resource)

Packing - 2min/dozen

Payment - 1min/order

Solution by an expert tutor
Blurred Solution
This question has been solved
Subscribe to see this solution