1. Rose Bay Boatworks will be closing their facility in two-months time so that major renovations...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
1. Rose Bay Boatworks will be closing their facility in two-months time so that major renovations can be done. They will be closed for almost 6 months and so want to make best use of resources that they have available before they close. RBB specializes in small watercraft, including canoes, kayaks, and dinghy's. These are made using two processes. The kayaks are made from polyethylene plastic that is heated in molds, whereas the other products are made from layers of fiberglass or Kevlar that are built in layers over a mold. In all cases after the basic watercraft shape is made, it requires some further cutting and finishing as well as the installation of fittings, inspection, and packaging. RBB formulated their problem as a linear program as follows: C1 = # of small canoes C2 = # of regular canoes K1 = # of one person kayaks K2 = # of two person kayaks D= # of dinghy's Maximize Profit = $32C1 + $41C2 + $42K1 + $55K2 + $25D Subject to: Kayak mold prep time 2.0K1 + 2.1K2 S120 hours Kayak oven time S 240 hours 1.8K1 + 2.3K2 Kevlar/fiberglass time 2.2C1 + 2.5C2 + 1.60 s210 hours Cutting/finishing time 1.5C1 + 1.5C2 + 1.8K1 + 2.0K2 +0.90 s320 hours Fitting installation time 1.5C1 + 2.0C2 + 2.2K1 + 2.7K2 + 1.40 $320 hours Minimum Canoe output C1 + C2 2 50 Minimum Kayak output K1 + K2 2 50 Minimum Dinghy output D 2 10 Non-negativity C1, C2, K1, K2, D 20 The Sensitivity Report is given below: 6 Variable Cells 7 Final Reduced Objective Allowable Allowable 8 Cell Name Value Cost Coefficient Increase Decrease R4C2 # made Small Canoe 13.4065934 32 4.08 1.2162963 R4C3 # made Regular Canoe 65.8021978 R4C4 # made Single Kayak R4C5 # made Double Kayak 57.1428571 R4C6 # made Dinghy 10 41 1.38215488 2.98529412 11 0 4.55238095 42 4.55238095 1E+30 12 55 1E+30 4.78 13 10 25 3.12307692 1E+30 14 15 Constraints 16 Final Shadow Constraint Allowable Allowable 17 Cell Name Value Price R.H. Side Increase Decrease 18 R11C7 Min Canoe Total 79.2087912 50 29.2087912 1E+30 R12C7 Min Kayak Total R13C7 Min Dinghy Total R6C7 Kayak mold Total R7C7 Kayak oven Total 19 57.1428571 1E+30 10 120 15.1212121 2.71111111 50 7.14285714 20 10 -3.12307692 10 49.962406 21 120 6.01465201 22 131.428571 240 1E+30 108.571429 23 R8C7 Kelvar Total 210 3.84615385 210 28.5142857 4.35714286 R9C7 Finishing Total R10C7 Fittings Total 24 242.098901 320 1E+30 77.9010989 25 320 15.6923077 320 3.48571429 19.4415584 26 27 28 Answer Report 1 Sensitivity Report 1 Sheet1 a) [4 pts] What is the production plan and total profit? Assume that fractional output is acceptable. If we force the variables to take integer values, then we cannot get a sensitivity report. b) [4 pts] Which constraints are binding? c) [6 pts] Would the solution change if the minimum number of canoes made was increased to 60? If the minimum number of kayaks was increased to 60? If the minimum number of dinghies was increased to 20? d) [4 pts] It has been determined that the oven used to heat the kayak mold must be shut down in one month, leaving only 150 hours of time. Will this affect the solution or the profit? (Explain using the given output; do not re-solve.) e) [4 pts] Extra fitting time can be obtained by hiring someone at minimum wage of $10.85. Should RBB hire someone? If so, for how many hours? f) [2 pts] Suppose they can also get someone to help with the kayak mold at $10.85 per hour. Should RBB hire someone? If so, for how many hours? g) And suppose that they can also get someone to help with finishing at $10.85 per hour. Should RBB hire someone? If so, for how many hours? h) [2 pts] Management has noted that the plan calls for production of all products except the single kayak. What would be the impact on profits if they decided to make a single kayak? 2 i) [4 pts] Suppose that RBB has been able to obtain discounted costs on some material for canoes such that the profit per small canoe increased to $34. Would this change their plan? And if the profit per regular canoe similarly increased to $43 would it change their plan? j) [4 pts] Dinghies are only being made because they have to deliver 10 of them. What would the profit per dinghy have to be to make RBB make them because they increased total profits? k) [7 pts] RBB has not made racing kayaks for many years, but still has the mold to produce them. To make a racing kayak, they would need 2.4 hours of mold prep time and 2.1 hours of mold oven time. They would also need 2.1 hours of cutting/finishing time and 2.5 hours for installation of fittings. How much profit would a racing kayak need to generate to make them profitable enough to consider? 1. Rose Bay Boatworks will be closing their facility in two-months time so that major renovations can be done. They will be closed for almost 6 months and so want to make best use of resources that they have available before they close. RBB specializes in small watercraft, including canoes, kayaks, and dinghy's. These are made using two processes. The kayaks are made from polyethylene plastic that is heated in molds, whereas the other products are made from layers of fiberglass or Kevlar that are built in layers over a mold. In all cases after the basic watercraft shape is made, it requires some further cutting and finishing as well as the installation of fittings, inspection, and packaging. RBB formulated their problem as a linear program as follows: C1 = # of small canoes C2 = # of regular canoes K1 = # of one person kayaks K2 = # of two person kayaks D= # of dinghy's Maximize Profit = $32C1 + $41C2 + $42K1 + $55K2 + $25D Subject to: Kayak mold prep time 2.0K1 + 2.1K2 S120 hours Kayak oven time S 240 hours 1.8K1 + 2.3K2 Kevlar/fiberglass time 2.2C1 + 2.5C2 + 1.60 s210 hours Cutting/finishing time 1.5C1 + 1.5C2 + 1.8K1 + 2.0K2 +0.90 s320 hours Fitting installation time 1.5C1 + 2.0C2 + 2.2K1 + 2.7K2 + 1.40 $320 hours Minimum Canoe output C1 + C2 2 50 Minimum Kayak output K1 + K2 2 50 Minimum Dinghy output D 2 10 Non-negativity C1, C2, K1, K2, D 20 The Sensitivity Report is given below: 6 Variable Cells 7 Final Reduced Objective Allowable Allowable 8 Cell Name Value Cost Coefficient Increase Decrease R4C2 # made Small Canoe 13.4065934 32 4.08 1.2162963 R4C3 # made Regular Canoe 65.8021978 R4C4 # made Single Kayak R4C5 # made Double Kayak 57.1428571 R4C6 # made Dinghy 10 41 1.38215488 2.98529412 11 0 4.55238095 42 4.55238095 1E+30 12 55 1E+30 4.78 13 10 25 3.12307692 1E+30 14 15 Constraints 16 Final Shadow Constraint Allowable Allowable 17 Cell Name Value Price R.H. Side Increase Decrease 18 R11C7 Min Canoe Total 79.2087912 50 29.2087912 1E+30 R12C7 Min Kayak Total R13C7 Min Dinghy Total R6C7 Kayak mold Total R7C7 Kayak oven Total 19 57.1428571 1E+30 10 120 15.1212121 2.71111111 50 7.14285714 20 10 -3.12307692 10 49.962406 21 120 6.01465201 22 131.428571 240 1E+30 108.571429 23 R8C7 Kelvar Total 210 3.84615385 210 28.5142857 4.35714286 R9C7 Finishing Total R10C7 Fittings Total 24 242.098901 320 1E+30 77.9010989 25 320 15.6923077 320 3.48571429 19.4415584 26 27 28 Answer Report 1 Sensitivity Report 1 Sheet1 a) [4 pts] What is the production plan and total profit? Assume that fractional output is acceptable. If we force the variables to take integer values, then we cannot get a sensitivity report. b) [4 pts] Which constraints are binding? c) [6 pts] Would the solution change if the minimum number of canoes made was increased to 60? If the minimum number of kayaks was increased to 60? If the minimum number of dinghies was increased to 20? d) [4 pts] It has been determined that the oven used to heat the kayak mold must be shut down in one month, leaving only 150 hours of time. Will this affect the solution or the profit? (Explain using the given output; do not re-solve.) e) [4 pts] Extra fitting time can be obtained by hiring someone at minimum wage of $10.85. Should RBB hire someone? If so, for how many hours? f) [2 pts] Suppose they can also get someone to help with the kayak mold at $10.85 per hour. Should RBB hire someone? If so, for how many hours? g) And suppose that they can also get someone to help with finishing at $10.85 per hour. Should RBB hire someone? If so, for how many hours? h) [2 pts] Management has noted that the plan calls for production of all products except the single kayak. What would be the impact on profits if they decided to make a single kayak? 2 i) [4 pts] Suppose that RBB has been able to obtain discounted costs on some material for canoes such that the profit per small canoe increased to $34. Would this change their plan? And if the profit per regular canoe similarly increased to $43 would it change their plan? j) [4 pts] Dinghies are only being made because they have to deliver 10 of them. What would the profit per dinghy have to be to make RBB make them because they increased total profits? k) [7 pts] RBB has not made racing kayaks for many years, but still has the mold to produce them. To make a racing kayak, they would need 2.4 hours of mold prep time and 2.1 hours of mold oven time. They would also need 2.1 hours of cutting/finishing time and 2.5 hours for installation of fittings. How much profit would a racing kayak need to generate to make them profitable enough to consider?
Expert Answer:
Answer rating: 100% (QA)
Answer Given that a a As we can see from the variables sections of the sensitivity report the production plan is as below rounded to 4 decimals Small Canoe 134066 Regular Canoe 658022 Single Kayak 0 D... View the full answer
Related Book For
South-Western Federal Taxation 2018 Comprehensive
ISBN: 9781337386005
41st edition
Authors: David M. Maloney, William H. Hoffman, Jr. , William A. Raabe, James C. Young
Posted Date:
Students also viewed these human resource management questions
-
In 2015, Noah and Sophia want to make a maximum contribution to their state's qualified tuition program (Code 529 plan) on behalf of their 8 grandchildren without exceeding the annual exclusion. How...
-
In 2017, Noah and Sophia want to make a maximum contribution to their states qualified tuition program (Code 529 plan) on behalf of their minor granddaughter, Amanda, without exceeding the annual...
-
if i have student database using MySQL (PHPMyAdmin) and I want to make a simple login page in my database has a password and a student id and I won\\\'t use it for the login page so the student will...
-
Suppose you were required to use a micrometeorite shield no more than 0.01 meters thick. What would be the required toughness of the material from which that shield was made if the shield must...
-
A lactone is an ester that has its ester functional group in a ring. Draw the structure of the smallest possible lactone (which is called acetolactone, which might give you a hint about its...
-
Identify the categories of individuals who can adopt children.
-
Find five interesting facts in Tables 1.4 and 1.5. DATA FROM TABLE 1.5 TABLE 1.4 Broad Categories of Exports of Selected Countries, 2010 SITC Code Product United United States Germany Japan China...
-
The following empirical equation correlates the values of variables in a system in which solid particles are suspended in a flowing gas: Both (?/pD) and (d p up/?) are dimensionless groups; kg is a...
-
A 5,900-kg truck runs into the rear of a 1,000-kg car that was stationary. The truck and car are locked together after the collision and move with speed 3 m/s. Compute how much kinetic energy was...
-
Questions 4. What would be a reasonable estimate of total cost for January of Year 2? 5. With only a 5 percent risk of being wrong, would you accept without investigation a January of Year 2 actual...
-
A company has the following inventory policy: inventory is observed and when this is 2 less, 2 products are ordered. If inventory is 3 more products, it is not ordered. The probability of having 0...
-
There are two reasons the yield of a defaultable bond exceeds the yield of an otherwise identical default-free bond. What are they?
-
Under what conditions can we evaluate a project using the firms weighted average cost of capital?
-
Explain why two coupon bonds with the same maturity may each have a different yield to maturity.
-
When choosing between alternatives, what cash flows can be ignored?
-
If investors attempt to buy a stock with a positive alpha, what is likely to happen to its price and expected return? How will this affect its alpha?
-
Question 1 One year from today, investors anticipate that Amazing Inc. stock will pay a dividend of $3.25 per share. After that, investors believe that the dividend will grow at 20% per year for...
-
Refer to the situation described inBE 18-13, but assume a 2-for-1 stock split instead of the 5% stock dividend. Prepare the journal entry to record the stock split if it is to be effected in the form...
-
Melanie is employed full-time as an accountant for a national hardware chain. She recently started a private consulting practice, which provides tax advice and financial planning to the general...
-
Analyze each of the characteristics in considering the indicated test for dependency as a qualifying child or qualifying relative. In the last two columns, after each listed test (e.g. gross income),...
-
Download IRS Form 1099K and its instructions from the IRS website. What is the purpose of the form and when is it used? Go to the Square, Inc. website (www.squareup.com) and search for information...
-
What ideas do you have for a new business? How can you multiply the stimuli around these ideas to enhance them and identify attractive opportunities?
-
What do you really enjoy doing? What is your passion? Can your passion be a platform for a viable opportunity?
-
What do your friends and family envision you doing? What strengths and weaknesses do they observe? How do their insights help lead you to an opportunity that is right for you?
Study smarter with the SolutionInn App