Determine a two-month production schedule at minimize cost

Assignment Help Operation Management

Reference no: EM131228757

A sporting goods manufacturer is developing a production schedule for two types of racquetball racquets. An order has been received for 180 of the standard model and 90 of the professional model. These are to be delivered at the end of this month. Another order has been received for 200 of the standard model and 120 of the professional model, but these are not to be delivered until the end of next month. Production in each of the two months may be in normal time or overtime. In the current month, a standard racquet may be produced at a cost of $40 on normal time, and a professional model may be produced at a cost of $60 on regular time. Overtime raises the cost of these to $50 and $70. Due to a new labor contract for next month, all costs will increase by 10% at the end of this month. The total number of racquets that may be produced in a month on regular time is 230, and an additional 80 racquets may be produced using overtime each month. Given the large order for delivery at the end of next month, the company is considering producing some extra racquets this month and keeping them in storage until the end of next month. The cost for keeping these in inventory for one month is estimated to be $2 per racquet.

Formulate and solve a linear program to determine a two-month production schedule at minimize cost.

Please solve using excel solver

Reference no: EM131228757

Questions Cloud

About the price of gas-how the tax impacts you abilities : What are you going to do about the price of gas? Discuss how the tax impacts you abilities and discuss other factors that will be considered when making decisions.

What is the actuarially fair price of an insurance policy : Suppose you are a consultant to a firm that has two production facilities (A and B), both of which produce the same product. Darrell has a utility function for daily income given by u(I) = 10* I . Thus, an income of $36 a day would give Darrell a uti..

What is the economic order quantity : What is the economic order quantity? How does your answer change if the holding cost doubles? What if the holding cost drops in half?

Determine a two-month production schedule at minimize cost : A sporting goods manufacturer is developing a production schedule for two types of racquetball racquets. An order has been received for 180 of the standard model and 90 of the professional model. These are to be delivered at the end of this month. Fo..

Focuses on operational efficiency : Software is defined as the computer programs that govern the operation of the computer. Microsoft's Dynamics ERP solution is a cloud-based application that runs on the Windows Azure platform. A management information system (MIS) focuses on operation..

Neural networks are type of artificial intelligence systems : System Design includes ascertaining what outputs must be produced by the system. Cloud-based technology solutions require companies to loosen their control of critical data. Neural networks are one type of artificial intelligence systems.

How would you navigate your role as an hr professional : Suppose the company you worked for was unionized and there was a tense relationship between the union and management. You would be charged with helping to implement the strategy set by management, but you would have to work with the union to execute ..

What is the optimal size of the production? run : Radovilsky Manufacturing? Company, in? Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders for about 1,700 flashing lights per year and has the capability of producing 95 ..

User Account

All Pages