Question
Walmart produces three distinct products using three separate machines. The selling prices per unit are as follows: $19 for product 1, $20 for product 2,
Walmart produces three distinct products using three separate machines. The selling prices per unit are as follows: $19 for product 1, $20 for product 2, and $29 for product 3.
Below is a table displaying the production costs per unit for each product on each machine:
Product | Machine 1 | Machine 2 | Machine 3 |
1 | 7.73 | 8.84 | 7.28 |
2 | 6.87 | 10.24 | 6.57 |
3 | 9.79 | 3.39 | 3.67 |
The company wants to determine how many units of each product to produce to maximize profit (contribution) margin. Select the best interpretation for each of the following constraints from the given options: Let xij = number of units of product i from machine j; i = 1, 2, 3 j = 1, 2, 3
1). x31x32x3313
Produce a maximum of 13 units more of Product 1 on Machine 3 than Products 2 and 3 combined.
Total Production on Machine 3 should be greater or equal to 13.
Total units of Product 3 should be a maximum of 13.
Produce greater or equal to 13 units more of Product 1 on Machine 3 than Products 2 and 3 combined.
This is not a valid constraint.
Total units of Product 2 and 3 should be greater or equal to 13.
Produce greater or equal to 13 units more of Product 3 on Machine 1 than on Machines 2 and 3 combined.
Produce a maximum of 13 units more of Product 3 on Machine 1 than on Machines 2 and 3 combined.
Total Production on Machines 2 and 3 should be a maximum of 13.
1b). x13x23x3313
Total units of Product 3 should be a maximum of 13.
Total units of Product 2 and 3 should be greater or equal to 13.
This is not a valid constraint.
Total Production on Machines 2 and 3 should be a maximum of 13.
Produce greater or equal to 13 units more of Product 3 on Machine 1 than on Machines 2 and 3 combined.
Produce a maximum of 13 units more of Product 1 on Machine 3 than Products 2 and 3 combined.
Produce greater or equal to 13 units more of Product 1 on Machine 3 than Products 2 and 3 combined.
Total Production on Machine 3 should be greater or equal to 13.
Produce a maximum of 13 units more of Product 3 on Machine 1 than on Machines 2 and 3 combined.
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