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Flash Electronics Company produces a variety of electronic equipment. One of the plants produces two laser printers: the deluxe and the regular. The demand
Flash Electronics Company produces a variety of electronic equipment. One of the plants produces two laser printers: the deluxe and the regular. The demand for the printers is 1,000 units of the deluxe and 2,000 units of the regular. The deluxe printer is priced at $900 and the regular printer is priced at $750. The materials cost is $530 for the deluxe printer and $410 for the regular printer. In addition, the company has the following information for the four manufacturing processes (setups, machining, engineering, and packing) showing the amount of time (in minutes) required for each printer for each process, and the total minutes of time available for each process. Time Required/unit Time Required/unit Regular Time Name Deluxe Available Setups 30 20 80,000 Machining 90 60 220,000 Engineering 120 80 250,000 Packing 30 40 120,000 Required: 1. Which process(es), if any, are constraints for the current level of demand? 2. Given any constraints identified in part (1) above, determine the best production and sales plan for the two types of tables. This will be accomplished by performing all three steps based upon the structure below: (1) Identify the constraint (2) Identify the Most Profitable Product (3)ldentify the Most Profitable Product Mix Answer to Part One: Answer to Part Two: Step One: Identify the Constraint - Total Time Required for Each Activity for Given Demand Time Slack Deluxe Regular Total Time Available Time Setups Machining Engineering Packing B Step Two: Identify the Most Profitable Product Deluxe Regular S Price Materials Cost Throughput Margin Constraint Time O Throughput/Time Step Three: Identify the Most Profitable Product Mix Deluxe requirement Regular requirement Deluxe Regular Total Units Throughput/unit Total Throughput
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