Company prepares two types of packed salads

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1. A company prepares two types of packed salads, A and B. During any week, it can prepare at most 650 salads. In week 1 the cost per salad A is $4 and its demand is 400, while the cost per salad B is $3.50 and its demand is 200. In week 2 the cost per salad A is $4.40 and its demand is 300, while the cost per salad B is $4 and its demand is 300. The demands must be met on time. Also, it costs 50¢ to hold a salad A, and 40¢ to hold a salad B, in inventory for a week. Formulate an LP to minimize the total cost of meeting the next two weeks’ demands.

2. Go to or think of a coffee shop of your choice and observe/think what their merchandising style is. Are they using the 70-20-10 formula? What are the different merchandising strategies for at least three different departments? What are your observations? (please be very detailed in your answer)

Reference no: EM132249435

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