Bottleneck for each product, Mathematics

Assignment Help:

 A company makes 2 products, Product A and Product B. The product characteristics are shown in the following table.

Product

A

B

Price ($/unit)

$800

$1,000

Cost of materials ($/unit)

$200

$250

Cost of labor ($/unit)

$150

$200

Market demand per week (units)

200

150

 

The products are fabricated and assembled in four different workstations (W, X, Y, Z). Every workstation is available for 60 hours a week and there is no setup time required when shifting from the production of 1 product to any other. The processing requirements to make one unit of every product are shown in the table.


Processing time (min/unit)

Workstation

Product A

Product B

W

8

12

X

9

12

Y

10

20

Z

5

8

 

a)      Using the traditional method, which refers to maximizing the contribution margin per unit for every product, what is the optimal product mix and resulting profit?

b)      Using the bottleneck method, which refers to maximizing the contribution margin per minute at the bottleneck for every product, what is the optimal product mix and resulting profit?

 


Related Discussions:- Bottleneck for each product

Mdm4uc, The number of hours spent studying and achievement on an exam

The number of hours spent studying and achievement on an exam

Example of optimization , A piece of pipe is carried down a hallway i.e 10 ...

A piece of pipe is carried down a hallway i.e 10 feet wide.  At the ending of the hallway the there is a right-angled turn & the hallway narrows down to 8 feet wide. What is the lo

Geometry , solve for x and y 2x+3y=12 and 30x+11y=112

solve for x and y 2x+3y=12 and 30x+11y=112

Develop a linear program to investment advisory firm, An investment advisor...

An investment advisory firm manages funds for its numerous clients. The company uses an asset allocation model that recommends the portion of each client's portfolio to be invested

Equation of a straight line, In a two dimensional case, the form of t...

In a two dimensional case, the form of the linear function can be obtained if we know the co-ordinates of two points on the straight line. Suppose  x' and  x"  are two

construct an isosceles triangle, 1. Construct an isosceles triangle whose ...

1. Construct an isosceles triangle whose base is 7cm and altitude 4cm and then construct another similar triangle whose sides are 1/2 times the corresponding sides of the isosceles

Tied rankings, Tied Rankings A slight adjustment to the formula is mad...

Tied Rankings A slight adjustment to the formula is made if several students tie and have the similar ranking the adjustment is: (t 3 - t)/12 Whereas t = number of tied

Calculate the score of contestant on a tv game show, Danny is a contestant ...

Danny is a contestant on a TV game show. If he gets a question right, the points for that question are added to his score. If he gets a question wrong, the points for that question

Find Equation of the circle, The line 4x-3y=-12 is tangent at the point (-3...

The line 4x-3y=-12 is tangent at the point (-3,0) and the line 3x+4y=16 is tangent at the point (4,1). find the equation of the circle. solution) well you could first find the ra

Order of a differential equation, The order of a differential equation is t...

The order of a differential equation is the huge derivative there in the differential equation. Under the differential equations as listed above in equation (3) is a first order di

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd