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In the purple shaded cell(s) below, use simple cell references (e.g., =D16) to point to the calculations specified. There should be no formulas or functions
In the purple shaded cell(s) below, use simple cell references (e.g., =D16) to point to the calculations specified. There should be no formulas or functions in the purple shaded cells. Problem 1 is a profit-centered evaluation of the espresso drinks the coffee shop offers: cappuccino, caf latte, espresso, and Americano. Each drink takes a different mix of ingredients to produce: espresso, milk, foam, and water (additional to that used to make the espresso). Each drink sells for a particular retail price, and the drink components have a specific cost per ounce used. We will structure our model with daily demand in mind. As we all know, we cannot sell more beverages than customers want to buy (demand), and we can't sell partial beverages either. For cappuccinos, daily demand is 47; for caf lattes, 37; for espresso, 7; and for Americanos, 2. One thing preventing the coffee shop from setting a production plan that exactly matches those daily demand figures is limited resources, which we will think of as a limited amount of fluid ounces available for the baristas to use. There are 400oz. of espresso available, 300oz. of milk, 100oz. of foam, and 500oz. of water. You are charged with creating a model that will help the owner understand what an optimal plan would look like. Specifically, making how many of each drink will maximize profit while meeting all constraints? Anyone who has been to a coffee shop should recognize that the scenario posed in problem 1 is not very realistic. Rarely, if ever, is service denied because of lack of ingredients "budgeted" for a particular drink. (If this bothers you, think of this model as a rough first step in figuring out what drinks you might try to attract customers to through your marketing efforts.) Problem 2 addresses a more realistic (and more complex) scenario
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