Question: A computer manufacturer makes two computers, Model A and Model B. Model A has a profit of $50 per unit and Model B has a
A computer manufacturer makes two computers, Model A and Model B. Model A has a profit of $50 per unit and Model B has a margin of $65. Model A has a cost of $750 and Model B $700. The company only has $100,000 in parts and supplies inventory to make computers.
Which of the following is true?
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| The company should make more Model Bs than Model As | |
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| The number of parts is the decision variable | |
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| The number computers made is based on the marginal profits | |
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| The number of Model A and Model B computer made are the decision variables | |
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| The price of Model A is $815 and the price of Model B is $750 |
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