Develop the production plan for the lemon

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Reference no: EM132218335

Ina works in a juice firm and has to develop the production plan for the lemon and the orange juice concentrates. The fruits (lemon and orange) that she needs to make the juice are not the bottleneck but Ina is concerned about the other main ingredients that go into making the juice: a water-based solution, sugar, and a vitamin mix. Checking with the ERP system tells her that she has 9.3 metric tons of the water solution, 3.09 metric tons of sugar, and 1950 kg of vitamin mix. The recipe tells her to use 53 kg of water solution to make a metric ton of lemon drink and 74 kg of water solution to make a metric ton of orange drink. For the lemon drink she also needs 22 kg of sugar and 18 kg of vitamin mix. The orange drink needs 17 kg of sugar and 15 kg of vitamin mix.

From the sales department, Ina knows that the lemon soft drink sells at 59 SEK/metric ton and the orange drink sells at 74 SEK/metric ton.

1) How much lemon drink should Ina produce to maximize revenue?

Give your answer in metric tons and round to one decimal place.

2) How much orange drink should Ina produce to maximize revenue?

3) How much revenue can Ina generate with the optimal production plan?

Reference no: EM132218335

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