Question: 1. ABT & Co. needs your advice on the production schedule for its product line. Analyze the information for the four-station four-product line, given below.

1. ABT & Co. needs your advice on the production

1. ABT & Co. needs your advice on the production schedule for its product line. Analyze the information for the four-station four-product line, given below. Estimated Selling Material Process Time at Work-Station (Mins/Unit) Product Weekly Price $ Cost $ Demand X Y 25 55 Alpha 40 30 10 20 10 Beta 25 60 45 50 60 20 20 Gamma 10 70 60 40 40 50 60 Delta 15 60 30 30 10 10 10 Capacity at each workstation is 2400 minutes/week. The overall operating expenses are $600 per week. There are no "Murphys." Set-up time and transfer times are zero. Demand is constant. a) Is there a bottleneck (constraint)? If so, which resource is a bottleneck (constraint)? (3 points) b) What product-mix schedule at this workstation maximizes the profit to ABC & Co.? Please show all the calculations that you do make this decision. (5 points) c) What is total profit from the product-mix schedule in the question above? (2 points) W Z

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