A product line has two models: X and Y. Model X consists of 4 components: a, b, c, and d. The number of processing operations required to produce these four components are 2, 3, 4, and 5, respectively. Model Y consists of 3 components: e, f, and g. The number of processing operations required to produce these three components are, 6, 7, and 8 respectively. The annual quantity of Model X is 1000 units and of Model Y is 1500 units. Determine the total number of (a) components and (b) processing operations associated with these two models.

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Explanation:

The computation is shown below:

a. The total number of components

For Model X

= 1,000 units × 4 components

= 4,000

For Model Y

= 1,500 units × 3 components

= 4,500

b. The processing operations are as follows

For Model X

= 1,000 units × (2 + 3 + 4 + 5)

= 1,000 units × 14

= 14,000

For Model Y

= 1,500 units  (6 + 7 + 8)

= 1,500 units × 21

= 31,500

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