# Cru Computer Rental

Draw the Flowchart

1996CustomerReceivingStatus 24Status 40Status 41Status 42Status 20

PartsSupplier

I

(unit)8000500150010005004055002000

R (unit/week)100010007004054054054051000

Big t (week)80. 52. 142. 471. 2311. 232

What was The Utilization Achieved by CRU in mil novecentos e noventa e seis?

Utilization sama dengan (Inventoy in Rent)/(Total products on hand by CRU) =8, 000/14, 405= fifty five. 54%

For 1996, Calculate The typical Time Put in by a Product in Every Buffer.

1996CustomerReceivingStatus 24Status 40Status 41Status 42Status 20

PartsSupplier

I

(unit)8000500150010005004055002000

Ur (unit/week)100010007004054054054051000

Big t (week)80. 52. 142. 471. 2311. 232

Calculate The Average Weekly Contribution Margin (Revenues - Changing Costs) to вЂЁCRU in 1996. Ignore Labor and Facility Costs in This Calculation. We Imagine They Are Fixed. How Does the Contribution Margin Compare with The Weekly Depreciation? Weekly Revenue=Number of products on Rent Г— Local rental Price=8, 000 Г— \$30 = \$240, 000

Every week Variable Costs = Throughput Г— Cost=1, 000 Г— \$25 + 1, 500 Г— \$25 + 595 Г— \$4 + 405 Г— \$150 = \$113, 130

Weekly Contribution Perimeter = \$240, 000-\$113, 130=\$126, 870

Every week Depreciation=(Total Inventory(unit) Г— Buy Price)/(Time (week) )=(14405 Г— \$1000)/(36/12*52)=\$92, 339. 74

So what do you think about the decision to launch a revenue drive in 1997? If you had a opportunity to guide Richard, what actions will you suggest Rich focus on to further improve performance by CRU (give a tangible plan record the causing benefits)? Exactly what key functionality measures that he should focus on? Circumstance 1: Demand increases to 1400 units/week and the barrier size continues to be the same.

CustomerReceivingStatus 24Status 40Status 41Status 42Status 20

PartsSupplier

I

(unit)8000500150010005004055002800

R (unit/week)140014009805675675675671400

To (week)5. 710. 361. 531. 760. 880. 710. 882

Utilization sama dengan (Inventoy in Rent)/(Total products on hand by CRU) =8, 000/15, 205= 52. 61%

Weekly Revenue=Number of products on Lease Г— Local rental Price=800 Г—6Г— \$30+400Г—8Г—\$35 = \$256, 1000

Weekly Changing Costs = Throughput Г— Cost=1, four hundred Г— \$25 + 1, 400 Г— \$25 + 980Г—0. eighty-five Г— \$4 + 567 Г— \$150 = \$158, 382

Regular Contribution Margin = \$256, 000-\$158, 382=\$97, 618

Regular Depreciation=(Total Inventory(unit) Г— Purchase Price)/(Time (week) )=(15, 205 Г— \$1000)/(36/12*52)=\$97, 467. 96

Weekly Profit=Weekly Contribution Margin-Weekly Depreciation=\$97, 618-\$97, 467. 95=\$150. 05

Condition 2: Require increases to 1400 units/week and the circulation time remains to be the same.

CustomerReceivingStatus 24Status 40Status 41Status 42Status 20

PartsSupplier

I

(unit)8000700209714006975676972800

R (unit/week)140014009805675675675671400

To (week)5. 710. 52. 142. 471. 2311. 232

Usage = (Inventoy on Rent)/(Total inventory by CRU) =8, 000/16, 958= 47. 18%

Each week Revenue=Number of units in Rent Г— Rental Price=800 Г—6Г— \$30+400Г—8Г—\$35 = \$256, 000

Regular Variable Costs = Throughput Г— Cost=1, 400 Г— \$25 & 1, 500 Г— \$25 + 980Г—0. 85 Г— \$4 + 567 Г— \$150 = \$158, 382

Weekly Contribution Margin = \$256, 000-\$158, 382=\$97, 618

Weekly Depreciation=(Total Inventory(unit) Г— Purchase Price)/(Time (week) )=(16, 958 Г— \$1000)/(36/12*52)=\$108, 705. 13

Every week Profit=Weekly Contribution Margin-Weekly Depreciation=\$97, 618-\$108, 705. 13=-11, 087. 13(Loss)

Situation 3: Demand is 600 units/week plus the flow period remains similar.

CustomerReceivingStatus 24Status 40Status 41Status 42Status 20

PartsSupplier

I

(unit)48003008996002992432991200

R (unit/week)600600420243243243243600

T (week)80. 52. a hunread forty two. 471. 2311. 232

Usage = (Inventoy on Rent)/(Total inventory by CRU) =4, 800/8, 640= 55. 56%

Each week Revenue=Number of units on Rent Г— Rental Price=800 Г—6Г—\$30= \$144, 000

Every week Variable Costs = Throughput Г— Cost=600 Г— \$25 + six hundred Г— \$25 +...