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5. . Aww 428 pit Problem 225-17 (Alga) The M-N plant manufactures two different products: M and N. Selling prices and weekly market demands are
5. . Aww 428 pit Problem 225-17 (Alga) The M-N plant manufactures two different products: M and N. Selling prices and weekly market demands are shown in the following diagram. Each product uses raw materials with costs as shown. The plant has three different machines: A, B, and C. Each performs different tasks and can work on only one unit of material at a time, A Alice 100 mm Operating experie 512.000 PodaM 510 100 W Product 1.200 20 . 15 MI 500 M 540 AM 540 Process times for each task are shown in the diagram. Each machine is available 3,600 minutes per week. There are no "Murphys" (major opportunities for the system to foul up). Setup and transfer times are zero, Demand is constant. Operating expenses (including labor) total a constant $12,000 per week. Raw materials are not included in weekly operating expenses. a. Which machine is the constraint in this plant? Machine Veche b. Which product mix provides the highest gross profit? (Hint: consider raw material cost but not operating expense) Product Product c. What is the maximum weekly net profit this plant can eam using the product mix from Part b? (Hint: consider operating expense and raw material cost) References Worksheet
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