The process flow diagram below illustrates bread making

Exam 11. Please answer problems 1 through 3 in a Word or Excel file, and problem 4in an Excel file.2. For full credit, please show your work/calculations, and the reasoningleading to a numerical answer, do not just state the answer.Problem 1The process flow diagram below illustrates bread making on two baking lines that canwork in parallel, feeding into a packaging line. Each baking line bakes a batch of 100loaves at a time, and the batches are then sent for packaging. FG stands for “FinishedGoods”, CT for Cycle Time.Bread MakingCT = 1hr/100 LoavesWIPPackagingFGCT = 1hr/100Bread MakingCT = 1 hr/100 Loaves(a) Suppose that the capacity of the packaging line is 100 loaves every hour.Identify the bottleneck operation and compute the steady state capacity ofthe process.(b) By how much should the start times of the two bread making lines bestaggered so that each batch of 100 loaves has the same lead time?(c) What is the lead time of a batch of 100 loaves in (b) above?(d) Estimate the average capacity utilization of each bread-making line and ofpackaging when the process is run as per the rule you specified in youranswer to (b).Problem 2Consider the following project network. The numbers represent activity times in weeks.A, 2B, 1C, 1E, 3H, 5J, 4I, 5Carry out a forward and backward path analysis and calculate ES, EF, LS, LF, and slackfor each activity.Problem 3A, 2B, 1C, 1E, 3H, 5J, 4I, 5Suppose the number against each activity represents the expected activity times ratherthan the actual activity times. The estimated activity standard deviations are A = 1, H =2, I = 3, J = 2, E = 5. Estimate the probability that the project will finish within 21 weeksusing the PERT method.Problem 4A book store needs to place an order for calendars. Each calendar sells for $10.Customer demand is assumed to be normally distributed with mean 200 and standarddeviation 60. The number of calendars that the book store’s supplier can supply isuniformly distributed between 125 and 200.The book store first places an order, and then the supplier determines the number ofcalendars he can actually supply. The supplier charges $8 per calendar if he can supplythe entire order; otherwise he charges only $7.50 per calendar.The manager of the book store has decided to order either 150 or 175 calendars.Use Monte Carlo simulation to help the manager choose between these two orderquantities.

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