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Question - A drink case has 95 linear feet of refrigerated drink space. Each linear foot can hold either 612 ounce cans or 520 ounce bottles The Beach Hut can sell all the drinks stocked in the display case each morning.
The beach hut sells three types of cold drinks call time in 12 ounce cans for $1.50 per can call time in 20 ounce bottles for 1.80 per bottle And vitamin plus in 20 ounce bottles for $2.30 per bottle. The beach hut pays its suppliers $.10 per 12 ounce can of cool time $.30 per 20 ounce bottle of Cool time and $.70 per 20 ounce bottle of vitamin plus.
The beach huts monthly fixed cost include Hut rental for $380, refrigerator rental for $75, 1 emp. salary for $1800, for a total fixed cost of $2255.
What should the beach hut stock to maximize profits?
Suppose the beach hut refuses to devote more than 50 linear feet to any individual product. Under this condition how many linear feet of each drink should the beach hut stock?
How many units of each product will be available for sale each day?
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