Problem $3$

Schmidt Industries makes four different snake traps; the Harlan, the Gavlen, the Leah and the Matthew. The

Harlan sells for $$200$ and has $$80$ in parts; the Gaylen sells for $$150$ and requires $$60$ in parts; the Leah sells

for $$100$ and has $$40$ in parts; and the Matthew sells for $$75$ but requires $$20$ of parts. Schmidt Industries

has four machines $($we$\text{'}$ll call them A$,$ B$,$ C$,$ and D for convenience$)$ that are used in the production of each of

these products. Each of these machines is available for $40$ hours a week and there is no setup time required

when shifting from the production of one product to any other. The processing requirements to make one unit

of each product are shown in the table.

Schmidt Industries has forecasted demand of $80$ Harlans, $60$ Gaylens, $40$ Leahs and $20$ Matthews for the

coming week.

Which work center is of greatest concern to the operations manager? Show your work and explain why.

Using the bottleneck method $($contribution margin per BN minute$),$ in what sequence should

products be prioritized for production? Show your work.

Using the bottleneck method, what is the optimal product mix? $($Remember you need to only calculate

for BN to determine the mix.$)$ Show your work.