The Byte computer company produces two models of computers, Plain and Fancy. It wants to plan how
Question:
The Byte computer company produces two models of computers, Plain and Fancy. It wants to plan how many computers to produce next month to maximize profits. Producing these computers requires wiring, assembly and inspection time. Each computer produces a certain level of profits but faces a limited demand. There are a limited number of wiring, assembly and inspection hours available next month. The data for this problem is summarized in the following table.
Computer | Profit per | Maximum demand for | Wiring Hours | Assembly Hours | Inspection Hours |
Model | Model ($) | product | Required | Required | Required |
Plain | 30 | 80 | 0.4 | 0.5 | 0.2 |
Fancy | 40 | 90 | 0.5 | 0.4 | 0.3 |
| | Hours Available | 50 | 50 | 22 |
a. Formulate the LP model for this problem.
b. Solve the problem using the graphical method.
Managerial Accounting
ISBN: 978-0078025518
2nd edition
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips