Parker Pens Inc (PPI) produces five different models of pens: Alpha, Bravo, Charlie, Delta, and Echo....
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Parker Pens Inc (PPI) produces five different models of pens: Alpha, Bravo, Charlie, Delta, and Echo. Each pen requires up to four ingredients - steel, gold, silver, and rubber. Weights of ingredients needed per pen for each model of pen is specified below along with the maximum monthly demand and profit per pen for each model of pen. PPI must purchase all of the needed ingredients from a single supplier, and the supplier is able to supply only 12,000 kilograms of Steel, 120 kilogram of gold, 240 kilogram of silver, and 6000 kilograms of rubber per year (equally distributed across 12 months). To keep its network of retailers committed to selling different models of its pens, PPI must produce at least 10% of the expected demand of each model of pen (except for Delta) every month. Decide how many pens of each type should PPI make per month to maximize its monthly profit given the stated constraints. (50 points) Note: 1 kilogram = 1,000 grams Gold needed Silver needed Rubber needed Monthly Demand 1,000 1,500 2,000 Profit Steel needed Pen Model per pen per pen per pen per pen per pen O gram O gram O gram 5 grams 10 grams 6 grams $79 $69 $29 $5 10 grams 11 grams 12 grams 13 grams 15 grams 6 grams 1 gram O gram O gram Alpha 16 grams 1 gram 2 grams O gram Bravo Charlie Delta 5,000 Echo $1 10,000 14 grams Parker Pens Inc (PPI) produces five different models of pens: Alpha, Bravo, Charlie, Delta, and Echo. Each pen requires up to four ingredients - steel, gold, silver, and rubber. Weights of ingredients needed per pen for each model of pen is specified below along with the maximum monthly demand and profit per pen for each model of pen. PPI must purchase all of the needed ingredients from a single supplier, and the supplier is able to supply only 12,000 kilograms of Steel, 120 kilogram of gold, 240 kilogram of silver, and 6000 kilograms of rubber per year (equally distributed across 12 months). To keep its network of retailers committed to selling different models of its pens, PPI must produce at least 10% of the expected demand of each model of pen (except for Delta) every month. Decide how many pens of each type should PPI make per month to maximize its monthly profit given the stated constraints. (50 points) Note: 1 kilogram = 1,000 grams Gold needed Silver needed Rubber needed Monthly Demand 1,000 1,500 2,000 Profit Steel needed Pen Model per pen per pen per pen per pen per pen O gram O gram O gram 5 grams 10 grams 6 grams $79 $69 $29 $5 10 grams 11 grams 12 grams 13 grams 15 grams 6 grams 1 gram O gram O gram Alpha 16 grams 1 gram 2 grams O gram Bravo Charlie Delta 5,000 Echo $1 10,000 14 grams
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The monthly availability of materials Steel 12000 kgs 12 1000 kgs Gold 120 kgs 12 10 kgs Silver 240 kgs 12 20 kgs Rubber 6000 kgs 12 500 kgs Ideal str... View the full answer
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