Question: Question 1 Trader ZZOE would like to open a bubble tea delivery business near Rutgers Business School. It is thinking to sell 4 different flavors.

Question 1 Trader ZZOE would like to open a bubble tea delivery business near Rutgers Business School. It is thinking to sell 4 different flavors. After the survey of our students, ZZOE gets 4 candidates for its menu. No matter what flavor it sells, each must undergo brewing, stirring, and packaging. The table below summarizes the minutes of brewing, stirring, and packaging required by each unit of bubble tea. In addition, you have total hours of capacity available for each work. The company wants to determine the most profitable mix of products to sell; however, it realizes some restrictions that it needs to consider. ($60 Per hour for Brewing Stirring and Packaging)

Flavor Flavor 2 Flavor 3 Flavor 4 Available (Hours)
Brewing 3 1 5 9 10
Stirring 2 2 2 3 12
Packaging 3 4 7 4 15
Unit Profit $4 $5 $7 $8
Fixed Cost $800 $700 $650 $800

The unit profit and the setup cost for each bubble tea are provided in the table above. The fixed cost only occurs when the flavor is selected to produce. Considering the variability of choice, the company must sell at least two different flavors. Flavors 3 and 4 use the same ingredients, so if flavor three is selected, then flavor four must be selected to simplify the supply chain. If the company decides to produce any product, it must make at least 70 units of that product. The marketing department expected the demand for each flavor to be less than 400 units. a. Determine the decision variables for this problem. Be sure sure to include the unit size & time frame. b. Determine the Objective Function for this problem. c. Determine the constraints for this problem.

d. Determine the optimal solution for this problem.

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