Question: Tutorial Exercise Kelson Sporting Equipment, Inc., makes two different types of baseball gloves: a regular model and a catcher's model. The firm has 920 hours
Tutorial Exercise
Kelson Sporting Equipment, Inc., makes two different types of baseball gloves: a regular model and a catcher's model. The firm has 920 hours of production time available in its cutting and sewing department, 200 hours available in its finishing department, and 100 hours available in its packaging and shipping department. The production time requirements and the profit contribution per glove are given in the following table.
| Model | Production Time (hours) | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Cutting and Sewing | Finishing | Packaging and Shipping | Profit/Glove | |||||||
| Regular model | 1 |
|
| $6 | ||||||
| Catcher's model |
|
|
| $7 | ||||||
Assuming that the company is interested in maximizing the total profit contribution, answer the following.
(b)
Develop a spreadsheet model and find the optimal solution using Excel Solver. How many of each model should Kelson manufacture?
Use Solver to complete the following spreadsheet values.
| A | B | C | D | |
|---|---|---|---|---|
| 11 | Model | |||
| 12 | Regular | Catcher's | ||
| 13 | Number of Gloves Produced | ? | ? | |
| 14 | ||||
| 15 | Hours | |||
| 16 | Time Used | Time Available | Unused Time | |
| 17 | Cutting & Sewing | ? | 920 | ? |
| 18 | Finishing | ? | 200 | ? |
| 19 | Packaging & Shipping | ? | 100 | ? |
| 20 | ||||
| 21 | Profit | $ ? |
(c)
What is the total profit contribution (in dollars) Kelson can earn with the optimal production quantities?
(d)
How many hours of production time will be scheduled in each department?
(e)
What is the slack time (in hours) in each department?
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