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03. Following details are given about a manufacturing company Assembly Testing Department Department Reliance star 2.0 hours 1.5 hours Reliance super star 4.0 hours 1.0

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03. Following details are given about a manufacturing company Assembly Testing Department Department Reliance star 2.0 hours 1.5 hours Reliance super star 4.0 hours 1.0 hours The assembly department has maximum of 12,000 hours available per month. The testing department has a maximum of 6,000 hours available per month. Because of limited availability of component parts for the reliance star batteries, the maximum demand of reliance star batteries per month is 3,500. Summerised financial data about each product are given as follows Reliance star Reliance super star Selling price 2,200 3,500 Direct material 700 1100 Variable assembly department costs are 300 per hour. Variable testing department costs are 200 per hour. Required: - What is the optimal mix of the reliance star and reliance super star product per month in order to maximise profit

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