Question
Valu-Com Electronics manufactures five different models of telecommunications interface cards for PCs and laptops. As summarized in the following table, tach of these devices requires
Valu-Com Electronics manufactures five different models of telecommunications interface cards for PCs and laptops. As summarized in the following table, tach of these devices requires differing amounts of printed circuit board, resistors, memory chips, and assembly.
Per Unit Requirements
HyperLink
FastLink
SpeedLink
MicroLink
EtherLink
Printed Circuit Boards (sq in)
20
15
10
8
5
Resistors
28
24
18
12
16
Memory Chips
8
8
4
4
6
Assembly Labor (hrs)
.75
.6
.5
.65
1
The Unit Wholesale Price and Manufacturing Cost for each model are as follows
Per Unit Revenues and Cost
HyperLink
FastLink
SpeedLink
MicroLInk
EtherLink
WholesalePrice
$189
$149
$129
$169
$139
Manufacturing Cost
$136
$101
$96
$137
$101
In its next production period, Valu-Com has 90,000 square inches of PC board, 100,000 resistors, 30,000 memory chips, and 5,000 hours of assembly time available. The company can sell all the product it cna manufacture, but the marketing department wants to be sure the company produces at least 500 units of each product and at least twice as many FasLink cards as HyperLink cards while maximizing profit.
a. Formulate an LP model for this problem.
b. What is the Optimal Solution
c. Could Valu-Com make more money if it schedules assembly workers to work overtime?
Per Unit Requirements | |||||
HyperLink | FastLink | SpeedLink | MicroLink | EtherLink | |
Printed Circuit Boards (sq in) | 20 | 15 | 10 | 8 | 5 |
Resistors | 28 | 24 | 18 | 12 | 16 |
Memory Chips | 8 | 8 | 4 | 4 | 6 |
Assembly Labor (hrs) | .75 | .6 | .5 | .65 | 1 |
The Unit Wholesale Price and Manufacturing Cost for each model are as follows
Per Unit Revenues and Cost | |||||
HyperLink | FastLink | SpeedLink | MicroLInk | EtherLink | |
WholesalePrice | $189 | $149 | $129 | $169 | $139 |
Manufacturing Cost | $136 | $101 | $96 | $137 | $101 |
In its next production period, Valu-Com has 90,000 square inches of PC board, 100,000 resistors, 30,000 memory chips, and 5,000 hours of assembly time available. The company can sell all the product it cna manufacture, but the marketing department wants to be sure the company produces at least 500 units of each product and at least twice as many FasLink cards as HyperLink cards while maximizing profit.
a. Formulate an LP model for this problem.
b. What is the Optimal Solution
c. Could Valu-Com make more money if it schedules assembly workers to work overtime?
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