Daisy Simpson, Inc., sells two popular brands of cookies: Daisy's Delight and Brianna's Bourbon. Daisy's Delight...

 

 

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Daisy Simpson, Inc., sells two popular brands of cookies: Daisy's Delight and Brianna's Bourbon. Daisy's Delight goes through the Mixing and Baking departments, and Brianna's Bourbon, a filled cookie, goes through the Mixing, Filling, and Baking departments. Michael Shirra, vice president for sales, believes that at the current price, Daisy Simpson can sell all of its daily production of Daisy's Delight and Brianna's Bourbon. Both cookies are made in batches of 3,200. (Click the icon to view the time required per batch and the total time available.) E (Click the icon to view the revenue and cost data.) Read the requirements. Requirement 1. Using D to represent the batches of Daisy's Delight and B to represent the batches of Brianna's Bourbon made and sold each day, formulate Shirra's decision as an LP model. Begin by determining the linear function. Total contribution margin = Next specify the constraints for each department. (If an input field is not used in the table, leave the input field empty; do not select a constraint.) Mixing Department: Filling Department: + Baking Department: Requirement 2. Compute the optimal number of batches of each type of cookie that Daisy Simpson, Inc., should make and sell each day to maximize operating income. Calculate the total contribution margin for each corner point, then we can select the optimal number of batches. (For trials with a $0 balance, make sure to enter "0" in the appropriate field.) Total Trial Corner (D,B) Contribution Margin 1 (0,0) 2 (20,0) (14,11) (6,15) (0,15) Select the corner point that represents the optimal number of batches of each type of cookie, to maximize operating income. Corner (D,B) = Data table Data table In each department, the time required per batch and the total time available each day are as follows: Revenue and cost data for each type of cookie are as follows: C Daisy's Delight Brianna's B D Bourbon 1 Department Minutes 1 Revenue per batch $ 425 $ 350 2 Mixing Filling Baking 2 Variable cost per batch 150 125 3 Daisy's Delight 33 9 275 $ 225 3 Contribution margin per batch Monthly fixed costs (allocated to 4 each product) 4 Brianna's Bourbon 181 18 18 18,550 $ 22,250 5 Total available per day 660 270 324 Print Done Print Done Daisy Simpson, Inc., sells two popular brands of cookies: Daisy's Delight and Brianna's Bourbon. Daisy's Delight goes through the Mixing and Baking departments, and Brianna's Bourbon, a filled cookie, goes through the Mixing, Filling, and Baking departments. Michael Shirra, vice president for sales, believes that at the current price, Daisy Simpson can sell all of its daily production of Daisy's Delight and Brianna's Bourbon. Both cookies are made in batches of 3,200. (Click the icon to view the time required per batch and the total time available.) E (Click the icon to view the revenue and cost data.) Read the requirements. Requirement 1. Using D to represent the batches of Daisy's Delight and B to represent the batches of Brianna's Bourbon made and sold each day, formulate Shirra's decision as an LP model. Begin by determining the linear function. Total contribution margin = Next specify the constraints for each department. (If an input field is not used in the table, leave the input field empty; do not select a constraint.) Mixing Department: Filling Department: + Baking Department: Requirement 2. Compute the optimal number of batches of each type of cookie that Daisy Simpson, Inc., should make and sell each day to maximize operating income. Calculate the total contribution margin for each corner point, then we can select the optimal number of batches. (For trials with a $0 balance, make sure to enter "0" in the appropriate field.) Total Trial Corner (D,B) Contribution Margin 1 (0,0) 2 (20,0) (14,11) (6,15) (0,15) Select the corner point that represents the optimal number of batches of each type of cookie, to maximize operating income. Corner (D,B) = Data table Data table In each department, the time required per batch and the total time available each day are as follows: Revenue and cost data for each type of cookie are as follows: C Daisy's Delight Brianna's B D Bourbon 1 Department Minutes 1 Revenue per batch $ 425 $ 350 2 Mixing Filling Baking 2 Variable cost per batch 150 125 3 Daisy's Delight 33 9 275 $ 225 3 Contribution margin per batch Monthly fixed costs (allocated to 4 each product) 4 Brianna's Bourbon 181 18 18 18,550 $ 22,250 5 Total available per day 660 270 324 Print Done Print Done

Answer rating: 100% (QA)

1 Total Contribution Margin 275D225B Constr... View the full answer