Question: Problems 1 3 5 contributions are $ 2 0 0 per unit for model DRB and $ 2 8 0 per unit for model DRW
Problems
contributions are $ per unit for model DRB and $ per unit for model DRW The linear programming model for this problem is as follows:
Max
st
Steel available
Manufacturing minutes
Assembly minutes
The computer solution is shown in Figure
a What are the optimal solution and the total profit contribution?
b Another supplier offered to prowide Deegan Industries with an additional pounds of the steel alloy at $ per pound. Should Deegan purchase the additional pounds of the steel alloy? Explain.
c Deegan is considering using overtime to increase the available assembly time. What would you advise Deegan to do regarding this option? Explain.
d Because of increased competition, Deegan is considering reducing the price of model DRB such that the new contribution to profit is $ per unit. How would this change in price affect the optimal solution? Explain.
e If the available manufacturing time is increased by hours, will the dual value for the manufacturing time constraint change? Explain.
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