Exam 14: Supply Chain Processes

The Queen Enterprise wants to purchase a large rotary screw air compressor. The company has looked at models of two major manufacturers: Ingersoll-Rand and DeWalt. The projected cash flows for each are shown below: -Calculate the total cost of ownership (TCO) for the DeWalt compressor, with an annual discount rate of 10%.

A used tower crane has an initial cost of $250,000. In Year 3 and Year 6, the equipment will require major maintenance, at a cost of $16,000 each time. The annual operating cost for the equipment is $24,000, and it has a salvage value of $33,000 in Year 9. -Find the net present value of the equipment if the cash flows are discounted annually at 12%.

Robinson Crusoe was trying to decide if they should continue making candy machines or outsource to a supplier. Their fixed costs to make them in house were $3,750, and the variable costs were $1.35 per unit. One of their suppliers in Mexico made a similar product for $5.75 per unit. -Calculate the break-even point.

Robinson Crusoe was trying to decide if they should continue making candy machines or outsource to a supplier. Their fixed costs to make them in house were $3,750, and the variable costs were $1.35 per unit. One of their suppliers in Mexico made a similar product for $5.75 per unit. -If Robinson needed 1,000 units, which option should be preferred?

A weighted scorecard is used to compare three suppliers for a product, using a 10-point scale. -Which of the following statements is NOT correct?

The Queen Enterprise wants to purchase a large rotary screw air compressor. The company has looked at models of two major manufacturers: Ingersoll-Rand and DeWalt. The projected cash flows for each are shown below: -Calculate the total cost of ownership (TCO) for the DeWalt compressor, with an annual discount rate of 12%, and the total cost of ownership (TCO) for the Ingersoll-Rand compressor, with an annual discount rate of 12%. Which model should be purchased based on these calculations?

Robinson Crusoe was trying to decide if they should continue making candy machines or outsource to a supplier. Their fixed costs to make them in house were $3,750, and the variable costs were $1.35 per unit. One of their suppliers in Mexico made a similar product for $5.75 per unit. -If Robinson needed 600 units, calculate their make cost.

A weighted scorecard is used to compare three suppliers for a product. Determine the total weighted scores for the suppliers and which supplier would be preferred. Use a 10-point scale. Note that excellent = 10, good = 8, fair = 6, poor = 4. -Which of the following statement is NOT correct?

The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years. -Find the net present value of the GOLIATH compressor if the cash flows are discounted annually at 12%.

The Queen Enterprise wants to purchase a large rotary screw air compressor. The company has looked at models of two major manufacturers: Ingersoll-Rand and DeWalt. The projected cash flows for each are shown below: -Calculate the total cost of ownership (TCO) for the Ingersoll-Rand compressor, with an annual discount rate of 10%. Calculate the total cost of ownership (TCO) for the DeWalt compressor, with an annual discount rate of 10%. Which model should be purchased based on these calculations?

Robinson Crusoe was trying to decide if they should continue making candy machines or outsource to a supplier. Their fixed costs to make them in house were $3,750, and the variable costs were $1.35 per unit. One of their suppliers in Mexico made a similar product for $5.75 per unit. -If Robinson needed 600 units, which option should be preferred?

The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years. -Find the net present value of the GOLIATH compressor if the cash flows are discounted annually at 7%.

A weighted scorecard is used to compare three suppliers for a product, using a 10-point scale. -Determine the total weighted score for Supplier B.

A weighted supplier scorecard is shown below. Use a 10-point scale. Note that excellent = 10. -For the order lead-time criterion, calculate the rating on a scale of 0 through 10.

The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years. -Find the net present value of the BEHEMOTH compressor if the cash flows are discounted annually at 7%.

A weighted supplier scorecard is shown below. Use a 10-point scale. Note that excellent = 10. -For the on-time deliveries criterion, calculate the rating on a scale of 0 through 10.

A weighted scorecard is used to compare three suppliers for a product. Determine the total weighted scores for the suppliers and which supplier would be preferred. Use a 10-point scale. Note that excellent = 10, good = 8, fair = 6, poor = 4. -Determine the total weighted score for the Supplier B.

The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years. -Find the net present value of the BEHEMOTH compressor if the cash flows are discounted annually at 7%. Find the net present value of the GOLIATH compressor if the cash flows are discounted annually at 7%. Which model should be purchased based on these calculations?

The Queen Enterprise wants to purchase a large rotary screw air compressor. The company has looked at models of two major manufacturers: Ingersoll-Rand and DeWalt. The projected cash flows for each are shown below: -Calculate the total cost of ownership (TCO) for the Ingersoll-Rand compressor, with an annual discount rate of 8%.

A weighted scorecard is used to compare three suppliers for a product. Determine the total weighted scores for the suppliers and which supplier would be preferred. Use a 10-point scale. Note that excellent = 10, good = 8, fair = 6, poor = 4. -Determine the total weighted score for the Supplier A.