Question: Need help on what to put into the excel solver. Have all the other answers. Excel Assignment 2 - Constrained Resources Mrs. Meadows sells two
Need help on what to put into the excel solver. Have all the other answers.
Excel Assignment 2 - Constrained Resources Mrs. Meadows sells two popular brands of cookies, Chip Dip and Soft Chunk Chocolate Chip. Both cookies go through the mixing and baking departments, but Chip Dip is also dipped in chocolate in the coating department. Frank Roman, vice president for sales, believes that Mrs. Meadows can sell all of its daily production of Chip Dip and Soft Chunk. Both cookies are made in batches of 600 cookies. The batch times for producing each type of cookie and the minutes available per day are as follows: Mixing Baking Dipping Minutes required per batch Chip Dip 20 40 15 Soft Chunk 30 20 0 Minutes available per day 4,000 6,000 2,000 Revenue per batch for Chip Dip is $150, and the variable costs per batch are $100. Fixed costs of $2,350 are allocated to Chip Dip. Revenue per batch for Soft Chunk Chocolate Chips is $175, and the variable costs per batch are $135. Allocated fixed costs are $1,500. Set up the target objective function contribution margin function) and the constraints for this problem. Enter these constraints and the objective function into Excel Solver and save the completed formula sheet and all reports. Required: A) What is the optimal product mix? B) What is the total contribution margin for that product mix? C) Following the general decision rules we discussed in class, what would the managers of Mrs. Meadows be willing to pay to relax each constraint? D) Which constraints are binding? E) By how much could the contribution margin for Soft Chunk increase before the optimal product mix changes
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