Which will make it beneficial to produce this variety

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Reference no: EM131484637

The One Cup Coffee House stocks three varieties of fine coffee beans: Sumatra, Kona and Tarrazu. To maintain the quality of their coffee, the total number of bags produced by the Coffee House never exceeds 100 bags per week. The coffee beans are carefully dried on drying tables and roasted before they are packaged. These requirements are stated in the table below. Roasting machine is available for 400 hours and 600 drying tables are available. The Coffee house wants to determine how many bags of coffee of each variety to stock this week so as to maximize their profits.

Variety Drying (tables/bag) Roasting (hours/bag) Profit ($/bag)

Sumatra 1 2 6

Kona 6 5 11

Tarrazu 3 4 9

1. What should be the per bag profit of Tarrazu which will make it beneficial to produce this variety?

2. Identify the range over which per bag profit of Sumatra and Kona may vary and still retain the current production plan as optimal for One Cup.

Reference no: EM131484637

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