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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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