MARIAM FATIMA BURHAN 24727
CHAPTER 7: PROCESS STRATEGY (numerical)
7.1
Solution:
For GPE the cost is: C = 100000+15X
For FMS the cost is: C = 200000+14X
For DM the cost is: C = 500000+13X
Suppose X=200000 so:
GPE cost: C = 100000+15(200000) = 3100000
FMS cost: C = 200000+14(200000) = 3000000
DM cost: C = 500000+13(200000) = 3100000
Therefore the better and cheapest process is FMS.
7.2
Solution: