Can someone answer these questions? this flu season? Question 17. What are cost

Question

Can someone answer these questions?

this flu season? Question 17. What are cost of understocking (C) and cost of overstocking (Ce) for Aventis? Question 18. What is optimal number of doses (in millions) Aventis should manufacture for the season? A. 50 B. 90 C. 60 D. 80 In the last flu season, the U.S. ran out of the flu vaccine. To improve public health, the U.S Department of Health is considering incentives to Aventis to encourage higher levels of production. In particular, the department would like Aventis to make enough vaccine so that the probability of stocking out in next season is 10%. One possible incentive is to purchase all unused doses of vaccine. For example, if Aventis manufactures 50 million doses and sells 40 million, the government would buy each of the remaining 10 million doses for price p. Question 19. If the value of p is set to $5 per unsold dose, what is the optimal manufacturing quantity (in millions of doses) for Aventis? A. 50 B. 90 C. 60 D. 80 Question 20. Choose the smallest value of p, for which the government objective of 10% proba- bility of a stock-out is achieved? A. $5 per dose B. $6 per dose C. $7 per dose D. $8 per dose Question 21. For a cookie making process, the USL and LSL for sugar content in 100 grams of cookies are 27 grams and 33 grams. If the cookie maker wants the process to have process capability index C equal to 2, what should be the standard deviation of number of grams of sugar in 100 grams of cookies. A. 1 grams B. 0.5 grams C. 3 grams D. 6 grams Question 22. When specification limits become narrower (USL decercases and LSL. incrcases), without making any other changes, the process is: A. More likely to detect a problem when there are none B. Less likely to detect a problerm when there is one C. More likely to generate products with defects D. Less likely to generate products with defects

Explanation / Answer

Question 17, 18, 19 and 20 cannot be answered because the full question is not provided. The provided picture does not have the first part of the questions.

For 19, Assuming profit from the sales of the product is given as " q"

Then , q * production quantity * 90% - $5 * 10% of production quantity = 0. We can find the optimum production quantity.

20. Cp = (USL - LSL)/ (6* sigma)

(33-27)/(6*sigma) = 2

sigma = 0.5

21. (C)They are more likely to generate products with defects

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