Question: Exercise 1. Gone Pro is considering whether or not to produce three new cameras and, if so, how many of each.Each product needs to go
Exercise 1. Gone Pro is considering whether or not to produce three new cameras and, if so, how
many of each.Each product needs to go through three production stages:machining, assembly, and
testing.The table below shows how much time each product spends in each manufacturing stage and
the total time available that they have contracted for each stage. The table also indicates,for
each product,the profit per unit sold and the one-time setup cost needed to produce them.
Camera ModelsProduction StageHeroSilverHeroGoldFusion
Available Machining236600
Assembly634300
Testing562400
Profit$48$55$50
Setup cost$1000$800$900
Write and solve a linear optimization model to help Gone Pro decide which products to produce,and
inwhatquantity,inordertomaximizeprofit.Whatif,forreasonsofscale, itis
notworthproducinganyquantityoftheFusioncameraunlesstheyproduceatleast 40
units of it?How would you modify your original model? What happens to the optimal solution in this case?
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