Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You have a container that you want to put on a ship from China to the US. The container has a volume of 2500 gallons,

You have a container that you want to put on a ship from China to the US. The container has a volume of 2500 gallons, and can carry 1500 pounds. You have a budget of $2000 to load merchandise. In the following table you have the cost of each item (in US dollars) in China, its selling price in the US, its volume and weight. You must spend between $300 and $800 on each item. Maximize profit (not selling price). The number of items does not have to be integer.

item 1

item 2

item 3

item 4

Cost

$ 3.00

$ 5.00

$ 2.50

$ 4.00

price

$ 4.20

$ 6.40

$ 3.00

$ 5.20

volume

4

6

3

5

weight

2

3

2

4

What is your profit?

  1. How many units of item 1 do you put in the container?
  2. many units of item 2 do you put in the container?
  3. How many units of item 3 do you put in the container?
  4. How many units of item 4 do you put in the container?
  5. What is the total purchasing cost?
  6. What is the total revenue from sales?
  7. How much volume do you use?
  8. How much weight do you use?
  9. How much money do you spend on item 3?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Corporate Finance

Authors: Richard A Brealey, Stewart C Myers, Franklin Allen

8th Edition

0073130826, 9780073130828

More Books

Students also viewed these Accounting questions

Question

Explore common areas of clinical focus in health psychology.

Answered: 1 week ago