Omapungu CC manufactures and sells a variety of chemical products used in purifying and softening water. One
Question:
Omapungu CC manufactures and sells a variety of chemical products used in purifying and softening water. One of its products is a pellet that is produced and sold in 40- and 80-kg bags. A common production line packages both products, although the fill rate is slower for 80-kg bags. Omapungu is currently planning its production schedule and wants to develop a linear programming model that will assist in its production-planning effort. The company has orders for 20,000 kg over the next week. Currently, it has 4,000 kg in inventory. Thus, it should plan on an aggregate production of at least 16,000 kg. Omapungu has a sufficient supply of pellets to meet this demand but has limited amounts of packaging materials available, as well as a limited amount of time on the packaging line. The company makes $2 for every 40-kg bag produced, and $4 for every 80-kg bag produced. Every 40- and 80-pound bag produced must go through the packaging line. In a normal workweek, this line operates 1,500 minutes. The 40-pound bags, for which the line was designed, each require 1.2 minutes of packaging time; the 80-pound bags require 3 minutes per bag. Omapungu has 6,000 square feet of packaging materials available; each 40-kg bag requires 6 square feet and each 80-kg bag requires 10 square feet of these materials. The problem is to determine how many 40- and 80-kg bags to produce in order to maximize profit, given limited materials and time on the packaging line.