Operations Management Appendix A

Question 4 Part B and C

A manufacturing firm has discontinued production of a certain unprofitable product line. Considerable excess production capacity was created as a result. Management is considering devoting this excess capacity to one or more of three products: X₁, X₂, and X₃.

Machine hours required per unit are The available time in machine hours per week is The salespeople estimate they can sell all the units of X1 and X2 that can be made. But the sales potential of X3 is 110 units per week maximum. Unit profits for the three products are b. Solve these equations using the Excel Solver. (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to the nearest whole number.) Answer is not complete. Answer is not complete. c. How much of each constraint or resource is unused? (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to the nearest whole number.) Answer is not complete