Chitime Sdn. Bhd. supplies their smoothie parlors in Langkawi Island with four premium flavors of smoothie:...
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Chitime Sdn. Bhd. supplies their smoothie parlors in Langkawi Island with four premium flavors of smoothie: banana, mango, strawberry and durian. Due to extremely hot weather and a high demand for their products, the company has run short of their supply of ingredients: milk, sugar, and cream. Hence, the company will not be able to fulfill all the orders received from their smoothie parlors. Due to these circumstances, the company has to decide the number of cups for each flavor to produce that will maximize total profit, given the constraints on supply of the basic ingredients. The banana, mango, strawberry, and durian flavors generate, respectively, RM 7, RM 6, RM 8, and RM 8 of profit per cup sold. The company has only 470 litres of milk, 280 kilograms of sugar, and 240 litres of cream left in its inventory. The LP formulation for this problem is shown below in algebraic form. x1 = cups of banana smoothie produced, x2 = cups of mango smoothie produced, 13 = cups of strawberry smoothie produced, x4 = cups of durian smoothie produced. Let Maximize 2- 7x1 + 6x2 + 8x; + 8xA subject to + + + 도470 100 +: +*, + S 280 S240 The optimal tableau is given in Table 1. Table 1 RHS 1 22 240 40 76800 5 4 54 50 500 13 60 40 7200 -40 60 3200 Suppose the profit per cup of mango smoothie increases by RM 1.50. Will this change the optimal production quantities? What can be said about the change in total profit? 1. Chitime Sdn. Bhd. supplies their smoothie parlors in Langkawi Island with four premium flavors of smoothie: banana, mango, strawberry and durian. Due to extremely hot weather and a high demand for their products, the company has run short of their supply of ingredients: milk, sugar, and cream. Hence, the company will not be able to fulfill all the orders received from their smoothie parlors. Due to these circumstances, the company has to decide the number of cups for each flavor to produce that will maximize total profit, given the constraints on supply of the basic ingredients. The banana, mango, strawberry, and durian flavors generate, respectively, RM 7, RM 6, RM 8, and RM 8 of profit per cup sold. The company has only 470 litres of milk, 280 kilograms of sugar, and 240 litres of cream left in its inventory. The LP formulation for this problem is shown below in algebraic form. x1 = cups of banana smoothie produced, x2 = cups of mango smoothie produced, 13 = cups of strawberry smoothie produced, x4 = cups of durian smoothie produced. Let Maximize 2- 7x1 + 6x2 + 8x; + 8xA subject to + + + 도470 100 +: +*, + S 280 S240 The optimal tableau is given in Table 1. Table 1 RHS 1 22 240 40 76800 5 4 54 50 500 13 60 40 7200 -40 60 3200 Suppose the profit per cup of mango smoothie increases by RM 1.50. Will this change the optimal production quantities? What can be said about the change in total profit? 1.
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Related Book For
Cost management a strategic approach
ISBN: 978-0073526942
5th edition
Authors: Edward J. Blocher, David E. Stout, Gary Cokins
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