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A company can produce as many as 40 units per month. The demand of its primary customers must be met on time each month; if
A company can produce as many as 40 units per month. The demand of its primary customers must be met on time each month; if it wishes, the company may also sell units to secondary customers each months. A 1.5 per unit holding cost is assessed against each month's ending inventory. The relevant data are shown in the table below. Month 1 Production Primary cost/unit demand 14.00 25 18.00 29 12.00 25 Available for secondary Sales price demand /unit 34 16.00 28 23.00 26 17.00 2 3 What is the maximal profit which the company can achieve during the next three months, if it uses an optimal production plan? A company can produce as many as 40 units per month. The demand of its primary customers must be met on time each month; if it wishes, the company may also sell units to secondary customers each months. A 1.5 per unit holding cost is assessed against each month's ending inventory. The relevant data are shown in the table below. Month 1 Production Primary cost/unit demand 14.00 25 18.00 29 12.00 25 Available for secondary Sales price demand /unit 34 16.00 28 23.00 26 17.00 2 3 What is the maximal profit which the company can achieve during the next three months, if it uses an optimal production plan
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