Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Big Wheels are classic kid's toys that have been around for years and years. These ride-on tricycles have one big wheel at the front and

Big Wheels are classic kid's toys that have been around for years and years. These ride-on tricycles have one big wheel at the front and two smaller ones at the back and offer the perfect balance for kids to learn to ride a bike yet ensure stability, balance, and safety. They have three major components: a big wheel and pedal assembly, the plastic frame, and two small wheels. Given that they are embarking on their 50-year anniversary, they have orders for 25,000 Big Wheels. The current production requirements are as follows:

Requirements for Manufacturing

Component

Plastic

(in sq feet)

Time

(in minutes)

Space

(in cubic feet)

Cost to Manufacture

Cost to Purchase

BigWheel / Pedal

2

7

2

$9

$10

Plastic Frame

5

5

2

$6

$8

Rear wheel (each)

.5

1

.2

$2

$3

Available

110,000

270,000

75,000

Unfortunately, the company does not have the resources and capacity to manufacture all of the components to produce 50,000 Big Wheels so they investigated the cost to outsource (purchase) equivalent components. Develop a linear programming model to determine the optimal blend of manufacturing and outsourcing of each component in order to satisfy the 25,000 unit order of fully assembled Big Wheels at a minimum cost. Reminder: Two rear wheels are needed for each unit

Formulate the linear programming problem only. Be sure to define decision variables (HINT: create a decision variable for BigWheel/Pedal (Manufacture), BigWheel/Pedal (Outsource), Frame (Manufacture), Frame (Outsource), etc.), provide objective function, and all constraints.

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

Environmental Health And Safety Audits

Authors: Lawrence B. Cahill, Raymond W. Kane

9th Edition

1605907081, 9781605907086

More Books

Students also viewed these Accounting questions

Question

1. R5 R5 6822 5357 6392 5823

Answered: 1 week ago

Question

List and describe three behavioral leadership theories.

Answered: 1 week ago