Question: The Refsnyder Sound Company created and ran a linear program to figure out how many of the its two amplifiers ( the Blaster and the
The Refsnyder Sound Company created and ran a linear program to figure out how
many of the its two amplifiers the Blaster and the Whisperer to make to maximize total
profit. The sensitivity report from the program is below:
Constraints
The profit from each product is in dollars. Refsnyder is constrained in how many of each
product it makes by the number of hours available for each of the production operations:
molding, wiring, assembly. Each product requires some time in each operation.
a How many of each product does the program say Refsnyder should produce?
b If Refsnyder follows the program, how much total profit should it get.
c Refsnyder is considering a change that would raise the profit on each Whisperer
by $ If that happens, how many of each product should it produce? How
and how much would it change total profit?
d As shown in the report, currently the Whisperer has a profit of $ per unit. What
is the highest this profit could go without changing the recommended number of
units of each product to make?
e Next period Refsnyder could have more hours of wiring time availablea total of
hours of wiring time, to be exact. How and how much would this change
the company's total profit?
f As a different option, Refsnyder could hire extra workers to do assembly. With
them it would have more assembly hours available. But it would also have to
pay a placement firm $ to hire the workers. Would this be worth the cost?
g Yet another option is to shift workers from molding to assembly. This would
reduce the number of hours for molding by and increase it for assembly by
If Refsnyder did this, how and how much would total profit change?
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