A firm is engaged in the production of two types of products. The first product (A) earns a profit of $4 per unit and the second product (B) earns $7 per unit. The sales force requires that at least 20 units of A must be produced. Each unit of product A requires 2 hours of labor and 4 hours of machine time. Each unit of product B requires 3 hour of labor and 8 hours of machine time. The firm has 120 hours of labor and 360 hours of machine time available next week. We must make sure that at least 40% of total production be the first type of product. 

The firm wants to find the production plan, which will maximize the profit for the next week.

Answer rating: 100% (QA)

This production plan ensures that at least 40 of the total pr... View the full answer