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The Primo Insurance Company is introducing two new product lines: special risk insurance and mortgages. The expected profit is $ 5 per unit on special
The Primo Insurance Company is introducing two new product lines: special risk insurance and mortgages. The expected profit is $ per unit on special risk insurance and $ per unit on mortgages. Management wishes to establish sales quotas for the new product lines to maximize total expected profit. The work requirements are shown below:
WorkHours per Unit
Department Special Risk Mortgage WorkHours Available
Underwriting
Administration
Claims
Special Risk Mortgage
Unit Profit $ $
WorkHours per Unit Hours
Available
Underwriting
Administration
Claims
Formulate and solve a linear programming model for this problem on a spreadsheet.
Determine the sales quota for special risk and mortgage.
Note: Round your answers to decimal places.
Determine the total profit.
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Linear Programming Model for Primo Insurance Decision Variables Let x be the number of units of spec...Get Instant Access to Expert-Tailored Solutions
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