Ozark Electronics manufactures four models of smartphones; M1, M2, M3, and M4. The electronic assembly must now be encased using two specially treated plastic components, C1 and C2. The following table provides the data of the situation:

(a) Letting x₁, x₂, x₃, and x₄ be the amounts produced of M1, M2, M3, and M4, formulate the LP model and find optimum solution, including the dual prices and their ranges of applicability.

(b) Explain which resources availability can be increased (decreased) to improve (not affect) revenues.

(c) Suppose that Ozark decided to boost production by hiring temp workers, what is the largest hourly rate the new hires could be paid to breakeven? To increase profit? To lose money?

(d) If C1 availability is decreased, will such a change affect the current optimum product mix selection in (a)?

(e) If units of C1 is purchased from a contractor at a price hike of $2.00, explain why such a purchase is or is not advisable.

(f) Model M1 and M3 are not produced in the optimal mix. Suppose that it is desired to produce at least 30 units of each of these two products. Specify the constraints for implementing this restriction. Without solving the new model, will the dual process associated with these new constraints be positive, zero, or negative? Explain.

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Resource C1 C2 Labor Unit price Model resource requirements per unit of M1 M4 3 2 1.1 $30.50 M2 3 2 1.3 $35.00 M3 3 3 2.7 $50.30 4 4 3.5 $72.00 Maximum availability 400 (units) 400 (units) 250 (hours)