A company manufactures two types of toys: trucks and cars. Each truck requires 1 minute of molding time, 2 minutes of painting time, and 1 minute of packing time. Each car requires 2 minutes of molding time, 1 minute of painting time, and 2 minutes of packing time. There are a maximum of 300 minutes of molding time, 400 minutes of painting time, and 400 minutes of packing time available each day. Both cars and trucks contribute $1 per unit to profit.

a. Formulate this problem.

Maximize:

T

+

C

Subject to:

Molding	T	+	C
Painting	T	+	C
Packing	T	+	C

b. The optimal solution is:

(Instructions: Round your answer to two decimal places where necessary.)

T =

C =

Objective function =

c. Which constraints are binding and what are the shadow prices and allowable increases and decreases?

The binding constraints are:

check all that apply

• Packing
• Painting
• Molding

The shadow prices are:

(Instructions: Round your answer to two decimal places where necessary.)

	Shadow Price	Allowable Increase	Allowable Decrease
Molding
Painting
Packaging

d. If you could purchase additional capacity of molding for 20 cents per minute, would you do it to increase profits?

multiple choice

Yes

No