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

Linear equations, Linear Equations We'll begin the solving portion of ...

Linear Equations We'll begin the solving portion of this chapter by solving linear equations. Standard form of a linear equation: A linear equation is any equation whi

Word problems fraction, Savannah''s mom made a fruit smoothie that tasted s...

Savannah''s mom made a fruit smoothie that tasted so good. She put in one-fourth of a cup of diced apples, one-fifth of a cup of sliced oranges, along with half of a cup of yogurt

Prove gcd value, Let a, b, c 2 Z + . (a) Prove that if a|b, then ac|bc f...

Let a, b, c 2 Z + . (a) Prove that if a|b, then ac|bc for all c. (b) If a|bc, can you conclude that either a|b or a|c? Justify your answer with a proof or a counter example.

Electronic whiteboards, Topic : Use of Electronic whiteboards (ICT) in prim...

Topic : Use of Electronic whiteboards (ICT) in primary education in Australia and international. What are the key theories, concepts and ideas related to your topic? Wha

BIOMATH, Ask quHarvesting prevents the population size of a species from at...

Ask quHarvesting prevents the population size of a species from attaining its natural carrying capacity. We can add harvesting to the logistic model by assuming that the per capita

Analalitic geometry, 1. Write down the canonical equations of the line pass...

1. Write down the canonical equations of the line passing through the point A(2,3, 4) and being parallel to the vector q ={5,0,-1}.

Example of linear equations, Example of Linear Equations: Solve the eq...

Example of Linear Equations: Solve the equation 2x + 9 = 3(x + 4). Solution: Step 1. Using Axiom 2, subtract 3x and 9 from both sides of the equation. 2x + 9 = 3(

Angles, how do you workout the value of the missing angle

how do you workout the value of the missing angle

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