At ABC Manufacturing, the industry is mature, competition to…

At ABC Manufacturing, the industry is mature, competition tough, and margins low. Most production lines are highly capital intensive.  The amount of reserve capacity they use to handle sudden increases in demand or temporary losses of production capacity is called:

Pack’d is a producer of Backpacks and Lunch boxes. Relevant…

Pack’d is a producer of Backpacks and Lunch boxes. Relevant data on the bottleneck operation in the shop for the upcoming fiscal year are given in the following table: Item Backpacks Lunch boxes demand forecast 30,000 units/yr 15,000 units/yr lot size  20 units 60 units standard processing time 0.4 hours/unit 0.5 hours/unit standard setup time 3 hours/lot 4 hours/lot   The shop works two shifts per day, 8 hours per shift, 180 days per year. Currently, the company operates [x] machines. The utilization rate of the shop is __________% (enter response rounded to two decimal places. For 10% enter 10).