Better Fitness, Inc. (BFI) manufactures exercise equipment at its plant in Freeport, Long Island. It recently designed two universal weight machines for the home exercise market. Both machines use BFI-patented technology that provides the user with an extremely wide range of motion capability for each type of exercise performed. Until now, such capabilities have been available only on expensive weight machines used primarily by physical therapists.
At a recent trade show, demonstrations of the machines resulted in significant dealer interest. In fact, the number of orders that BFI received at the trade show far exceeded its manufacturing capabilities for the current production period. As a result, management decided to begin production of the two machines. The two machines, which BFI named the Body- plus 100 and the BodyPlus 200, require different amounts of resources to produce.
Analyze the production problem at Better Fitness, Inc., and prepare a report for BFI’s president presenting your findings and recommendations. Include (but do not limit your discussion to) a consideration of the following items:
1. The recommended number of BodyPlus 100 and BodyPlus 200 machines to produce
2. The effect on profits of the requirement that the number of units of the BodyPlus
200 produced must be at least 25% of the total production
3. Where efforts should be expended in order to increase contribution to profits Include a copy of your linear programming model and graphical solution in an appendix to your report.