The Nutmeg Corporation produces four different products, each in a 1-pound can: Almond Pack, Walnut Pack, Gourmet

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The Nutmeg Corporation produces four different products, each in a 1-pound can: Almond Pack, Walnut Pack, Gourmet Pack, and Thrifty Pack. Three types of nuts are used in Nutmeg€™s product almonds, walnuts, and peanuts. Nutmeg currently has 100 pounds of almonds available, as well as 250 pounds of walnuts and 500 pounds of peanuts. Each of Nutmeg€™s four products must contain a certain percentage of each type of nut, as shown in the following table. The table also shows the revenue per can for each product. Use a computer package to answer the following questions.
a. Given Nutmeg€™s current stock of nuts, how many cans of each product should be produced to maximize revenue?

The Nutmeg Corporation produces four different products, each in

b. If only 80 pounds of almonds were available, how would the revenue-maximizing mix change from part a? Would revenues increase or decrease?
c. If the Thrifty pack was switched to 30% almonds, 30% walnuts, and 40% peanuts how would the revenue-maximizing mix change from part (a)? Would revenues increase ordecrease?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Operations management processes and supply chain

ISBN: 978-0136065760

9th edition

Authors: Lee J Krajewski, Larry P Ritzman, Manoj K Malhotra

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