Question
Problem 1 (10 Points) (-2/error) Do not solve these problemsformulate/define them only Buckhead Manufacturing Corp. manufactures six products: A, B, C, D, E, & F.
Problem 1 (10 Points) (-2/error)
Do not solve these problemsformulate/define them only
Buckhead Manufacturing Corp. manufactures six products: A, B, C, D, E, & F. Each product requires manufacturing time (labor hours) in four departments (Dept. 1, 2, 3, & 4) as shown below. The maximum labor hours available next week in each department are 1,800 labor hours in Dept. 1; 1,500 labor hours in Dept. 2; 1,320 labor hours in Department 3; 1,400 labor hours in Dept. 4. If Product A is run, $1,100 in total setup cost is incurred. Product B does not require any setup or setup cost. If Product C is run, $2,100 in total setup cost is incurred. If Product D is run, $725 in total setup cost is incurred. If Product E is run, $1,500 in total setup cost is incurred. Product F does not require any setup or setup cost. The gross profit per unit for each product is: A = $125, B = $102, C = $92, D = $79, E = $55, & F = $92. The marketing manager has specified that maximum demand next week for each product is: A = 175, B = 225, C = 110, D = 85, E = 90, & F = 95 based on their forecasts. The marketing manager has dictated that at least 80 units of Product A must be produced to meet an existing order.
The CEO wants to maximize net profit next week.
Labor Hours per Unit
Dept. | Product A | Product B | Product C | Product D | Product E | Product F |
1 | 2.3 | 2.6 | 2.7 | 2.9 | 1.2 | 1.1 |
2 | 4.5 | 3.2 | 2.7 | 4.2 | 5.5 | 2.8 |
3 | 5.1 | 2.6 | 3.2 | 3.8 | 7.1 | 5.5 |
4 | 3.5 | 4.5 | 4.9 | 3.1 | 5.3 | 5.1 |
The CEO wants to maximize net profit next week.
Formulate the model in your document using the headings listed below:
Decision Variables:
Objective Function:
Constraints:
Additional Work for Constraints:
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