Q1:

The Company manufactures paring knives and pocket knives. Each paring knife requires 3 laborhours, 7" units of steel, and 4 units of wood. Each pocket knife requires 6 laborrhours' 5 units of steel, and 3 units of wood. The prot on each paring knife is $3, and the prot on each pocket knife is $5. Each day the company has avaiahle 90 laborrhours' 129 units of steel, and 114 units of wood. Suppose that the number of labor-hours that are available each day is increased by 2?. Use sensitivity analysis to determine the etfect on the optimal number of knives produced and on the pmt. The Company should produce D paring knives and El pocket knives each day for a prot of SD. The v'.':om|:ran}|4r manufactures paring knives and pocket knives. Each paring knife requires 3 laborhours, T unitsof steel, and 4 units of wood. Each pocket knife requires 6 labcr~hours, 5 units of steel' and 3 units of wood. The goton each paring knife is $3. and the prot on each pocket knife is $5. Each day the company has avaiable 102 labor-hours. 130 units of steel. and 105 units ofwood. Suppose that the number of laborJnours that are available each clayI increased by h. For what values of h will a change of h laborwhours not change the shadow price of labor? The shadow price of labor will not cl'lange for |:| s h s D. {Simplify your answers}