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

The equation of the tangent, Consider the function f(x) = 2x 2 + 1. Find ...

Consider the function f(x) = 2x 2 + 1. Find the equation of the tangent to the graph of f(x) at x = 2. [NOTE: when calculating f'(2), use first principles.

Setofoperations, write CxD being sure to use appropriate brackets and find ...

write CxD being sure to use appropriate brackets and find n(CxD)

Root of function, Root of function: All throughout a calculus course we wi...

Root of function: All throughout a calculus course we will be determining roots of functions.  A root of function is number for which the function is zero.  In other terms, determ

Climate and vegetation of southeast asia, 1.) How does the monsoon influenc...

1.) How does the monsoon influence the climate and vegetation of Southeast Asia? 2.) What is the main crop in Southeast Asia and the main systems by which it is produce? How and

The parallelogram, love is a parallelogram where prove that love is a rect...

love is a parallelogram where prove that love is a rectangle

Determine the actual viewing area, Computer monitors are calculated by thei...

Computer monitors are calculated by their diagonals. If a monitor is advertised to be 19 in, Determine the actual viewing area, considerthe screen is square? (Round to the nearest

Hello, dans chaque cas recris l expression sous la forme d un rappot reduit...

dans chaque cas recris l expression sous la forme d un rappot reduit 5kg/600g

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