The Good-to-Go Suitcase Company makes three kinds of suitcases: (1) Standard, (2) Deluxe, and (3) Luxury styles.

Each suitcase goes through four production stages: (1) cutting and coloring, (2) as- sembly, (3) finishing, and (4) quality and packaging.

The total number of hours available in each of these departments is 630, 600, 708, and 135, respectively. Each Standard suitcase requires 0.7 hours of cut- ting and coloring, 0.5 hours of assembly, 1 hour of finishing, and 0.1 hours of quality and packaging.

The corresponding numbers for each Deluxe suit-case are 1 hour, 5/6 hours, 2/3 hours, and 0.25 hours, respectively. Likewise, the corresponding numbers for each Luxury suitcase are 1 hour, 2/3 hours, 0.9 hours, and 0.4 hours, respectively. The sales revenue for each type of suitcase is as follows: Standard $36.05, Deluxe $39.50, and Luxury $43.30. The material costs are Standard $6.25, Deluxe $7.50, and Luxury $8.50. The hourly cost of labor for each department is cutting and coloring $10, assembly $6, finishing $9, and quality and packaging $8.

The Excel layout and LP Sensitivity Report of Good-to-Go

problem are shown in Screenshots 4-11A and 4-11B, respectively. Each of the following questions is independent of the others.

(a) What is the optimal production plan? Which of the resources are scarce? (b) Suppose Good-to-Go is considering including a polishing process, the cost of which would be added directly to the price. Each Standard suit- case would require 10 minutes of time in this treatment, each Deluxe suitcase would need 15 minutes, and each Luxury suitcase would need 20 minutes. Would the current production plan change as a result of this additional process if 170 hours of polishing time were available? Explain your answer. (c) Now consider the addition of a waterproofing process where each Standard suitcase would use 1 hour of time in the process, each Deluxe suitcase would need 1.5 hours, and each Luxury suitcase would require 1.75 hours. Would this change the production plan if 900 hours were available? Why or why not?

Problem 4-22 Standard Deluxe Luxury Solution value 540.00 252.00 0.00 Selling price per unit 636.05 $39.50 $43.30 $29,421.00 Material cost per unit $6.25 $7.50 $8.50 $5,265.00 Labor cost per unit $19.80 $23.00 $25.30 $16,488.00 Profi $10.00 $9.00 $9.50 $7.668.00 Constraints Cost Cutting & Coloring 0.70 1.00 1.00 630.00