Tom's Inc. makes two salsa products: Western Foods salsa and Mexico City salsa. Essentially, the two...

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Tom's Inc. makes two salsa products: Western Foods salsa and Mexico City salsa. Essentially, the two products have different blends of whole tomatoes, tomato sauce, and tomato paste. A jar of Western Foods salsa uses 5 ounces of whole tomatoes, 3 ounces of tomato sauce, and 2 ounces of tomato paste. A jar of Mexico City salsa consists of 7 ounces of whole tomatoes, 1 ounce of tomato sauce, and 2 ounces of tomato paste. For the current production period Tom's Inc. can purchase up to 4480 ounces of whole tomatoes, 2080 ounces of tomato sauce, and 1600 ounces of tomato paste. Tom's Inc. makes a profit of $1.00 per jar of Western Foods salsa and S1.25 per jar of Mexico City salsa. The following linear optimization model was used to determine the mix of salsa products that will maximize the total profit contribution. Let W be the number of jars of Western Foods Salsa M be the number of jars of Mexico City Salsa 1W + 1.25M 5W + 7M s 4480 3W + 1M s 2080 Maximize Subject to (Whole tomatoes) (Tomato sauce) 2W + 2M < 1600 (Tomato paste) W,M 2 0 The problem was solved in Excel and the sensitivity report is shown below. Answer the following questions based on the sensitivity report. (If a question can't be answered using the sensitivity report say so. You don't need to change the model and solve it.) Adjustable Cells Final Reduced Objective Allowable Allowable Value Cell SC$17 Western Foods Salsa SDS17 Mexico City Salsa Name Cost Coefficient Increase Decrease 560 0.000 1.00 0.107 0.25 240 0.000 1.25 0.25 0.15 Constraints Final Shadow Constraint Allowable Allowable Cell SK$10 Whole Tomatoes Name Value Price R.H. Side Increase Decrease 4480 0.125 4480 1120 160 SK$11 Tomato Sauce 1920 0.000 2080 1E+30 160 SK$12 Tomato Paste 1600 0.187 1600 40 320 a) How many jars of Westem Foods Salsa should Tom's produce? b) How many jars of Mexico City Salsa should Tom's produce? c) What is the profit of the optimal solution? d) Which constraints are non-binding? e) What would be the value of 30 more ounces of tomato paste? f) How much less profit would Tom's make if they had 100 fewer ounces of tomato sauce? g) How would Tom's profit change if they had 500 more ounces of tomato sauce? h) How would Tom's profit change if they had 170 more ounces of whole tomatoes? Tom's Inc. makes two salsa products: Western Foods salsa and Mexico City salsa. Essentially, the two products have different blends of whole tomatoes, tomato sauce, and tomato paste. A jar of Western Foods salsa uses 5 ounces of whole tomatoes, 3 ounces of tomato sauce, and 2 ounces of tomato paste. A jar of Mexico City salsa consists of 7 ounces of whole tomatoes, 1 ounce of tomato sauce, and 2 ounces of tomato paste. For the current production period Tom's Inc. can purchase up to 4480 ounces of whole tomatoes, 2080 ounces of tomato sauce, and 1600 ounces of tomato paste. Tom's Inc. makes a profit of $1.00 per jar of Western Foods salsa and S1.25 per jar of Mexico City salsa. The following linear optimization model was used to determine the mix of salsa products that will maximize the total profit contribution. Let W be the number of jars of Western Foods Salsa M be the number of jars of Mexico City Salsa 1W + 1.25M 5W + 7M s 4480 3W + 1M s 2080 Maximize Subject to (Whole tomatoes) (Tomato sauce) 2W + 2M < 1600 (Tomato paste) W,M 2 0 The problem was solved in Excel and the sensitivity report is shown below. Answer the following questions based on the sensitivity report. (If a question can't be answered using the sensitivity report say so. You don't need to change the model and solve it.) Adjustable Cells Final Reduced Objective Allowable Allowable Value Cell SC$17 Western Foods Salsa SDS17 Mexico City Salsa Name Cost Coefficient Increase Decrease 560 0.000 1.00 0.107 0.25 240 0.000 1.25 0.25 0.15 Constraints Final Shadow Constraint Allowable Allowable Cell SK$10 Whole Tomatoes Name Value Price R.H. Side Increase Decrease 4480 0.125 4480 1120 160 SK$11 Tomato Sauce 1920 0.000 2080 1E+30 160 SK$12 Tomato Paste 1600 0.187 1600 40 320 a) How many jars of Westem Foods Salsa should Tom's produce? b) How many jars of Mexico City Salsa should Tom's produce? c) What is the profit of the optimal solution? d) Which constraints are non-binding? e) What would be the value of 30 more ounces of tomato paste? f) How much less profit would Tom's make if they had 100 fewer ounces of tomato sauce? g) How would Tom's profit change if they had 500 more ounces of tomato sauce? h) How would Tom's profit change if they had 170 more ounces of whole tomatoes?

Answer rating: 100% (QA)

a Toms should produce 560 jars of Western Foods Salsa This is shown in the Final Value column b Toms ... View the full answer