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Par, Inc., is a small manufacturer of golf equipment and supplies. Par's distributor believes a market exists for both a medium - priced golf bag,
Par, Inc., is a small manufacturer of golf equipment and supplies. Par's distributor believes a market exists for both a mediumpriced golf bag, referred to as a standard
model, and a highpriced golf bag, referred to as a deluxe model. The distributor is so confident of the market that, if Par can make the bags at a competitive price, the
distributor will purchase all the bags that Par can manufacture over the next three months. A careful analysis of the manufacturing requirements resulted in the following
table, which shows the production time requirements for the four required manufacturing operations and the accounting department's estimate of the profit contribution
bag.
The director of manufacturing estimates that hours of cutting and dyeing time, hours of seving time, hours of finishing time, and hours of inspection a
packaging time will be available for the production of golf bags during the next three months. Let be the number of standard bags. Let be the number of deluxe bag
Suppose that Par's management encounters the following situations.
If each of these situations is encountered separately, what is the optimal solution and the total profit contribution?
a The accounting department revises its estimate of the profit contribution for the deluxe bag to $ per bag.
The optimal solution occurs at with a profit of $
b A new lowcost material is available for the standard bag, and the profit contribution per standard bag can be increased to $ per bag. Assume that the profit
contribution of the deluxe bag is the original value.
The optimal solution occurs at with a profit of
c New sewing equipment is available that would increase the seving operation capacity to hours. Assume that is the appropriate objective function.
The optimal solution occurs at with a profit of $
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