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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
3-11. The Xang Corporation operates five clothing suppliers in China to provide merchandise for Nike. Nike recently sought information from the five plants.
One variable for which data were collected was
the total money (in U.S. dollars) the company spent on medical support for its employees in the first three months of the year. Data on number of
Â
Â
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|
employees at the plants are also shown. These data are as follows:
location and building amenities. Currently, all six buildings are fully leased at the prices shown here.
Â
Â
Price per
Square Foot
Â
Number of
Square Feet
Â
Â
|
 |
Building 1 |
$ 75Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 125,000 |
|
a. Compute the weighted mean medical payments for |
Building 2 |
$ 85Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 37,500 |
|
these five plants using number of employees as the |
Building 3 |
$ 90Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 77,500 |
|
weights. |
Building 4 |
$ 45Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 35,000 |
|
b. Explain why Nike would desire that a weighted |
Building 5 |
$ 55Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 60,000 |
|
average be computed in this situation rather than |
Building 6 |
$110Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 130,000 |
Â
a simple numeric average.
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