Minimizing manufacturing costs


Assignment:

The Johnny Ho Manufacturing Company in Columbus, Ohio, is putting out four new electronic components. Each of Ho’s four plants has the capacity to add one more product to its current line of electronic parts. The unit-manufacturing costs for producing the different parts at the four plants are shown in the accompanying table. How should Ho assign the new products to the plants to

ELECTRONIC

 

Plant.

 

COMPONENT

1

2

3

4

CS3

$0.10

10.12

$0.13

$0.11

C81

0.05

0.06

0.04

0.08

DS

0.32

0.40

0.31

0.30

Ddd

0.17

0.14

0.19

0.15

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Supply Chain Management: Minimizing manufacturing costs
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