Question: BP Computer Services assembles its own brand of personal computers from component parts it purchases overseas and domestically. BP has enough regular production capacity to
BP Computer Services assembles its own brand of personal computers from component parts it purchases overseas and domestically. BP has enough regular production capacity to produce up to computers per week. It can produce an additional computers with overtime. Also, an additional computers per week can be sourced through a subcontractor. The cost of assembling, inspecting, and packaging a computer during regular time is $ Overtime production of a computer costs $ and subcontracting has a unit cost of $ Further, it costs $ per computer per week to hold a computer in inventory for future delivery, but BPs storage facility can store a maximum of only computers. BP wants to meet all customer orders with no shortages to provide quality service. BPs confirmed orders for the next six weeks are given below
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