Bread Production Bread Type Produced Optimal Maximum Rye Wheat Pumpernickel Total Total Optimized Values (decision variables): 1 1 1 380 Maximum Production: 300 300 150 Minimum Production: 100 100 50 Maximum Actual Ingredient Cost Cost Yeast 0.10 $ 0.10 S 0.10 Molasses 0.10 S S 0.10 Bread flour 0.50 $ 0.85 S 0.50 Rye flour 0.45 0.45 14 CA Sale 0.05 0.05 0.05 Oil 0.05 0.05 $ 0.05 Milk 0.05 0.05 Cornmeal 0.10 Brown sugar S 0.20 Honey $ 0.05 Price/Unit: 2.25 $ 2.15 $ 2.50 Cost/Unit: 1.25 $ 1.15 1.60 Profit/Unit: 1.00 5 1.00 S 0.90Simplified Income Statement Revenue (All Loaves]: Variable Costs! Fixed Cost: $ 100.00 Total Cost: Pre-tax Income: Tax Rate 0.12 Net Income: Minimum Target Net Income/Revenue: 0.15 Base Case Solution Summary Component Value Number of rye loaves Number of wheat loaves Number of pumpernickel loaves Contribution to gross profit - rye Contribution to gross profit - wheat Contribution to gross profit - pumpernickel Variable Costs Net income after taxes Net income/Revenue