Spacey, a lithium battery manufacturer, produces two kinds of batteries. It uses the same raw material...

 

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Spacey, a lithium battery manufacturer, produces two kinds of batteries. It uses the same raw material to manufacture those batteries, called RW. Each unit of RW can be used to make 4 units of the first and 5 units of the second type of battery, respectively. The price of these batteries is dependent on the units of batteries produced. For example, if an n1 unit of the first battery is produced, the price would be $(4500 - 2*n1). Similarly, if an n2 unit of the second battery is produced, the price would be $(3000 - 3*n2). Obviously, battery prices cannot be negative. The cost of one unit of raw material is $2000. The company can decide how many units of raw material to be used for production. Assume that there are no costs other than raw material costs. Develop a spreadsheet model for this problem and solve it. What is the maximum profit? Spacey, a lithium battery manufacturer, produces two kinds of batteries. It uses the same raw material to manufacture those batteries, called RW. Each unit of RW can be used to make 4 units of the first and 5 units of the second type of battery, respectively. The price of these batteries is dependent on the units of batteries produced. For example, if an n1 unit of the first battery is produced, the price would be $(4500 - 2*n1). Similarly, if an n2 unit of the second battery is produced, the price would be $(3000 - 3*n2). Obviously, battery prices cannot be negative. The cost of one unit of raw material is $2000. The company can decide how many units of raw material to be used for production. Assume that there are no costs other than raw material costs. Develop a spreadsheet model for this problem and solve it. What is the maximum profit?

Answer rating: 100% (QA)

To solve this problem and find the maximum profit we can use a spreadsheet model with the following steps Step 1 Set up the spreadsheet Create a colum... View the full answer