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The following is the Excel sensitivity analysis report: Final Objective Allowable Allowable Cell Name Value Coefficient Increase Decrease SB$2 2345-Stand 22.94 400.00 316.00 100.54 $C$2

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The following is the Excel sensitivity analysis report: Final Objective Allowable Allowable Cell Name Value Coefficient Increase Decrease SB$2 2345-Stand 22.94 400.00 316.00 100.54 $C$2 2345-Indust 0.00 560.00 103.30 Infinity $D$2 W250-Stand 22.94 500.00 106.23 154.33 $E$2 W250-Indust 45.87 700.00 268.49 97.91 Constraints Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease SF$4 Zinc 2500.00 21.10 2500.00 492.16 320.00 SF$5 Iron 2339.45 0.00 2800.00 Infinity 460.55 SF$6 Min Z345 22.94 0.00 0.00 2.94 Infinity SF$7 Industrial Minimum 45.87 -179.82 0.00 17.78 14.02 SF$8 Max Z345 22.94 0.00 Infinity 45.87 SF$9 Max W250 68.81 289.91 D.00 3.20 21.19 Answer the following questions (each question independently): a. The maximum profit is not shown above. Use the information above, and show the profit calculation. b. The profit on Z345 - Industrial is increasing by 15%! These good news made a consultant to the company recommend Kelly increases the production of Z345. Is the consultant correct? Explain. c. Management decided to buy additional 100 pounds of zinc on top of the original 2500 pounds at a cost of $3 per pound. i. What will be the net total profit? Show your work without rerunning. Explain why you can answer the question without the re-run. ii. What is the largest price management should be willing to pay per 1 pound of zinc, if it does not want to lose money on the additional amount bought? 2. Jay Barkley runs a tough campaign for the state senate. In the one week left before the election, he plans a statewide advertising campaign. He considers TV ads, Radio ads and online ads. The following table summarizes information his stuff has collected, before the decision about the campaign composition is made. TV Radio Online Exposure per ad 100000 18000 25000 Cost per ad $20000 $300 $2500

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