Determine the ten day optimal production mix

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Reference no: EM13960324

Baba Furniture Company employs four carpenters for 10 days to assemble tables and chairs. It takes two peron-hours to assemble a table and 5 person-hour to assemble a chair. Customers usually buy one table and four to six chairs. The prices are $135 per table and $50 per chair. The company operates one 8 hour shift a day.

(a) Determine the 10-day optimal production mix.

(b) If the present unit prices per table and chair are each reduced by 10%, use sensitivity analysis to determine if the optimum solution obtained in (a) will change.

Reference no: EM13960324

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