Determine the amounts to be allocated to the two models

Assignment Help Operation Management

Reference no: EM131144923

An automobile manufacturer needs to allocate a maximum sum of $2.5 XlO6 between the development of two different car models. The profit expected from both the models is given by JC{ 5Jc2, where JC, denotes the money allocated to model i (i = 1,2).

Since the success of each model helps the other, the amount allocated to the first model should not exceed four times the amount allocated to the second model.

Determine the amounts to be allocated to the two models to maximize the profit expected.

Reference no: EM131144923

Questions Cloud

Define college stakeholders : Who are the stakeholders in a community college How broadly inclusive would you define college stakeholders? Give examples of how the school's stakeholders affect us and what effect the school has on themList them.

The comparative balance sheets for howell company : The comparative balance sheets for Howell Company show these changes in noncash current asset accounts: accounts receivable decrease $80,000, prepaid expenses increase $28,000, and inventories increase $40,000.

Describe similarities in discriminatory treatment : Identify and describe similarities and differences in discriminatory treatment that these groups have experienced. How have they responded and what is their prospect for the future in America?

Poverty rate increased for non-hispanic whites : Between 2009 and 2010, the poverty rate increased for non-Hispanic Whites (from 9.4 percent to 9.9 percent), for Blacks (from 25.8 percent to 27.4 percent), and for Hispanics (from 25.3 percent to 26.6 percent). For Asians, the 2010 poverty rate (12...

Determine the amounts to be allocated to the two models : Determine the amounts to be allocated to the two models to maximize the profit expected.

Company incurred a loss on sale of plant assets : The net income for Bohnert Co. for 2012 was $280,000. For 2012, depreciation on plant assets was $70,000, and the company incurred a loss on sale of plant assets of $28,000.

Marketing research is multistep process : Marketing research is a multistep process that involves the systematic gathering of consumer information or data that will help an organization identify specific issues of concern to consumers. Name the 5 steps to marketing research, and give an exam..

Identify real or potential users of each forecast : What types of demand forecast techniques do you think you would need for both short-term and long-term planning? Why? What decisions would each forecast support? Explain.

What is the market value added mva for this division : What is the Market Value Added (MVA) for this division if the constant growth FCF model applies and the division expects a constant growth in sales and FCFs of 6%?

User Account

All Pages