Question
XYZ Co. XYZ Co. produces two products, Product A and Product B. Product A is sold at $115 and Product B is sold at $145.
XYZ Co. XYZ Co. produces two products, Product A and Product B. Product A is sold at $115 and Product B is sold at $145. To produce one unit of Product A, it costs the company a total of $75. Also, to produce one unit of Product B, it costs the company a total of $85. In the last year, XYZ Co.'s total cost of production was $80,000. During the next year, it is expected that the company will only have 45,000 hours of production time available, while all other production factors remain the same. Product A requires 12 hours to produce one unit, and Product B takes double the time that of Product A to produce one unit. XYZ Co. would like to draw a production plan in which the profits would be maximized for the upcoming year.
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