Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A) Sandford Tile Company makes ceramic and porcelain tile for residential and commercial use. They produce three different grades of tile (for walls, residential flooring,

A) Sandford Tile Company makes ceramic and porcelain tile for residential and commercial use. They produce three different grades of tile (for walls, residential flooring, and commercial flooring), each of which requires different amounts of materials and production time, and generates different contributions to profit. The following information shows the percentage of materials needed for each grade and the profit per square foot.

Grade I Grade II Grade III
Profit/square foot $2.50 $4.00 $5.00
Clay 50% 30% 25%
Silica 5% 15% 10%
Sand 20% 15% 15%
Feldspar 25% 40% 50%

Each week, Sanford Tile receives raw-material shipments, and the operations manager must schedule the plant to efficiently use the materials to maximize profitability. Currently, inventory consists of 6,000 pounds of clay, 3,000 pounds of silica, 5,000 pounds of sand, and 8,000 pounds of feldspar. Because demand varies for the different grades, marketing estimates that at least 100 square feet of Grades I, II and III tiles are required. Each square foot of tile weighs approximately 2 pounds. Develop and solve a linear optimization model using Excel Solver. How many of each grade of tile the company should make next week to maximize profit contribution, and what is the profit?

B) With the same set-up as above question, but marketing estimates that at least 200 square feet of Grades I, 100 square feet of Grades II and III tiles are required. Answer the question without solving a new linear program. How would the optimal profit and optimal solution change? You might need to use auxiliary variable in the linear program and get your answers from the Sensitivity Report.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these General Management questions