How much reduction in profit of each type b can be tolerated

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Reference no: EM132752169

A company manufactures 3 different products, typeA, type B and type C. Each product is processed in 3 departments: I, II, III. The total availability of the departments are 900, 1080 and 840 hours respectively.

The time requirements (in hours per unit) of the three different products is listed below:

Product A Product B Product C

Dept. I 2 1 2

Dept. II 3 1 2

Dept.Ill 2 2 1

Profit $I8 $I2 $I5

Problem a) The manufacturer decided that for every product A, at least two product B be manufactured. How many of each product should they produce so that their profit maximizes?

Problem b) How much reduction in profit of each type B can be tolerated so the company can still make profit with the mentioned product structure?

Reference no: EM132752169

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