Question
Please answer ASAP: Goodwell Manufacturing is planning for its upcoming production cycle. The company can make three products, each of which must undergo machining, polishing,
Please answer ASAP:
Goodwell Manufacturing is planning for its upcoming production cycle. The company can make three products, each of which must undergo machining, polishing, and assembly. The table below summarizes the hours of machining, polishing and assembly required by each unit for each respective product, and the total profit that is expected to be made for each unit of each respective product.
The machining station has a maximum capacity of 600 hours, the polishing station has a maximum capacity of 300 hours, and the assembly station has a maximum capacity of 400 hours.
Product 1 has a setup cost of $1,000, Product 2 has a setup cost of $800, and Product 3 has a setup cost of $900, for the production cycle.
Due to industry regulation, the company can make a maximum of 85 of Product 1, 92 of Product 2, and 110 of Product 3 in this upcoming production cycle.
What is the product production mix that the company should produce in order to maximize its profit? (i.e. which products should the company make and how many of each of the respective products)
What profit results from the optimal production mix?
Assume that the company can make Partial Units i.e. they can produce 1.63 units of Product 1, etc.
Hours required | |||
Process | Product 1 | Product 2 | Product 3 |
Machining | 2 | 3 | 6 |
Polishing | 6 | 3 | 4 |
Assembly | 5 | 6 | 2 |
Unit Profit (expressed in dollars) | |||
Profit | $48.00 | $55.00 | $50.00 |
questins:
- How many units of Product 1 should the company produce? Please round to the nearest 2 decimal places. (E.g. 0.00, 10.
- How many units of Product 2 should the company produce? Please round to the nearest 2 decimal places. (E.g. 0.00, 10.00, 11.57, etc.)
- How many units of Product 3 should the company produce? Please round to the nearest 2 decimal places. (E.g. 0.00, 10.00, 11.57, etc.)
- What is the company's profit when they produce the optimal number of units? Please round to the nearest 2 decimal places.
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