The fixed cost will be r150 000 and the cost of sale will


1. In measuring the weight of pies at a bakery, the average weight is 450g, the lower specification is 440g and the upper specification is 465g. At a standard deviation (sigma) of 2.5, calculate the process capability index.

2. A manufacturing company wants to introduce a new product, at a price of R500 per unit. The fixed cost will be R150 000 and the cost of sale will be R140 per unit. What is the breakeven quantity of units.

3. Calculate how many workstations will be required (theoretical minimum) if the total time per flow diagram is 31.8 minutes and the units per minute is 5.3

4. A marketing company needs to determine how many graphic artists are required if a series of adverts has to be developed. Considering that it takes 12 hours to develop the advert and a group of artists will develop various elements, and that each element will take 2.5 hours, determine the number of artists that will be required.

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Operation Management: The fixed cost will be r150 000 and the cost of sale will
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