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Wild West produces two types of cowboy hats. A Type 1 hat requires twice as much labor time as a Type 2 . If all
Wild West produces two types of cowboy hats. A Type hat requires twice as much labor time as a Type If all the available labor time is dedicated to Type alone, the company can produce a total of Type hats a day. The respective market limits for the two types are and hats per day. The revenue is $ per Type hat and $ per Type hat.
a Use the graphical solution to determine the number of bats of each type that maximizes revenue.
b Determine the dual price of the production capacity in terms of the Type hat and the range for which it is applicable.
c Determine the optimality range for the unit revenue ratio of the two types of hats that will keep the current optimum unchanged.
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