Question
Mimimi company makes three types of cup-cakes- small, medium, and large. Every week, the company is contracted to manufacture at least 50 of each type
Mimimi company makes three types of cup-cakes- small, medium, and large. Every week, the company is contracted to manufacture at least 50 of each type of cup-cakes for businesses in the same town and has a policy of making least 30 of each type of cupcake/week for its store. Under the current capacity, the company has a limit of 800 labor hours/ week.
Question: What is the optimal number of cup-cakes that the company need to produce each week in order to maximize the profit needed.
The manufacturing information of each cupcake is-
Small | Medium | Large | |
Selling price | $20 | $12 | $10 |
Variable costs | 11 | 6 | 10 |
Labour hours per cake | 2.6 | 1.24 | 1.73 |
Question-What is the optimal number of cup-cakes that the company need to produce each week in order to maximize the profit needed.
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