Question
PLEASE USE SOLVER TO CREATE ANSWER AND SENSITIVITY REPORT. I have done the work below but having trouble creating the reports. PLEASE HELP TY with
PLEASE USE SOLVER TO CREATE ANSWER AND SENSITIVITY REPORT. I have done the work below but having trouble creating the reports. PLEASE HELP TY with PICS OF WORK
Room & Board
Room & Board produces three products: end tables, sofas, and chairs. These products are processed in five departments: the saw lumber, fabric cutting, sanding, staining, and assembly departments. End tables and chairs are produced from raw lumber only, and the sofas require lumber and fabric. Glue and thread are plentiful and represent a relatively insignificant cost that is included in operating costs. The specific requirements for each product are as follows.
Resource or Activity (quantity available per month) | Required per End Table | Required per Sofa | Required per Chair |
Lumber (4,350 board feet) | 10 board feet | 7.5 board feet | 4 board feet |
Fabric (2,500 yards) | None | 10 yards | None |
Saw lumber (280 hours) | 30 minutes | 30 minutes | 30 minutes |
Cut fabric (140 hours) | None | 24 minutes | None |
Sand (280 hours) | 30 minutes | 6 minutes | 30 minutes |
Stain (140 hours) | 24 minutes | 12 minutes | 24 minutes |
Assemble (700 hours) | 60 minutes | 90 minutes | 30 minutes |
The companys direct labor expenses are $75,000 per month for the 1,540 hours of labor, at $48.70 per hour. Lumber costs $10 per board foot and fabric costs $17.50 per yard. Based on current demand, the firm can sell 300 end tables, 180 sofas, and 400 chairs per month. Sales prices are $400 for end tables, $750 for sofas, and $240 for chairs. Assume that labor cost is fixed and that the firm does not plan to hire or fire any employees over the next month. Determine the product mix needed to maximize profit at Room & Board. (10 points)
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