Suppose our drug company can purchase up to 500 hours of labor at $1 more per hour
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Suppose our drug company can purchase up to 500 hours of labor at $1 more per hour than its current labor costs. Calculate the new maximum profit.
| Change cell: Pounds to be made | 0 | 0 | 0 | 596.6667 | 1084 | 0 |
| Product | 1 | 2 | 3 | 4 | 5 | 6 |
| Labor: Hours needed to produce 1 lb | 6 | 5 | 4 | 3 | 2.5 | 1.5 |
| Pounds of Raw Material Needed | 3.2 | 2.6 | 1.5 | 0.8 | 0.7 | 0.3 |
| Unit price (Price per pound) | $ 12.50 | $ 11.00 | $ 9.00 | $ 7.00 | $ 6.00 | $ 3.00 |
| Variable unit cost (Cost per pound) | $ 6.50 | $ 5.70 | $ 3.60 | $ 2.80 | $ 2.20 | $ 1.20 |
| Limit to the number of pounds to be made | 960 | 928 | 1041 | 977 | 1084 | 1055 |
| Profit Contribution per pound | $ 6.00 | $ 5.30 | $ 5.40 | $ 4.20 | $ 3.80 | $ 1.80 |
| | | | | | | |
| OBJECTIVE FUNCTION | | | | | | |
| Profit | $ 6,625.20 | | | | | |
| | | | | | | |
| CONSTRAINTS | | | Available | | | |
| Labor Used | 4500 | <= | 4500 | | | |
| Raw Material Used | 1236.13333 | <= | 1600 | | | |
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