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

What is the smallest possible number 3, What is the smallest possible numbe...

What is the smallest possible number in which can be created along with four decimal places using the numbers 3, 5, 6, and 8? Place the smallest number in the largest place val

What is a lattice, What is a lattice? Which of the following graphs are lat...

What is a lattice? Which of the following graphs are lattice and why? Ans:  Let (L, ≤) be a poset. If each subset {x, y} consisting of any two elements of L, comprises a glb (I

Standardizing normal variables, Standardizing Normal Variables Suppose ...

Standardizing Normal Variables Suppose we have a normal population. We can represent it by a normal variable X. Further, we can convert any value of X into a corresponding valu

Perceny, 72 is 75% what number

72 is 75% what number

Give the introduction to scientific notation, Give the Introduction to Scie...

Give the Introduction to Scientific Notation? In mathematics, it can be very difficult and time-consuming to do calculations involving very large and very small numbers. This i

Twelve coworkers go out how many slices will each person get, Twelve cowork...

Twelve coworkers go out for lunch together and sequence three pizzas. Each pizza is cut within eight slices. If each person gets the similar number of slices, how many slices will

Geometric mean-geometric progression, Geometric mean - It is a measure ...

Geometric mean - It is a measure of central tendency normally utilized to measure industrial increases rates. - It is explained as the nth root of the product of 'n' observa

Trig, without using a calculator how would you know is cos theta(20) is gre...

without using a calculator how would you know is cos theta(20) is greater than cos theta (35)

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