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

Rank correlation coefficient, Rank Correlation Coefficient Also ident...

Rank Correlation Coefficient Also identified as the spearman rank correlation coefficient, its reasons is to establish whether there is any form of association among two vari

Finding absolute extrema of f(x) on [a, Finding Absolute Extrema of f(x) on...

Finding Absolute Extrema of f(x) on [a,b] 0.   Confirm that the function is continuous on the interval [a,b]. 1.  Determine all critical points of f(x) which are in the inte

E is irrational, If e were rational, then e = n/m for some positive integer...

If e were rational, then e = n/m for some positive integers m, n. So then 1/e = m/n. But the series expansion for 1/e is 1/e = 1 - 1/1! + 1/2! - 1/3! + ... Call the first n v

Regarding submitting sample work, How can I submit a sample of my work in e...

How can I submit a sample of my work in either teaching online or checking homework as I am retired and doing this for the first time?

Unite Ratet, How does finding the unit rate help make smart decisions?

How does finding the unit rate help make smart decisions?

Product, a product can be anything including physical good,services,places,...

a product can be anything including physical good,services,places,experience,nations,organizations,properties,information.discuss the statement?

Calculus, application of radious of curvatur

application of radious of curvatur

Develop a linear program, The production manager of Koulder Refrigerators m...

The production manager of Koulder Refrigerators must decide how many refrigerators to produce in each of the next four months to meet demand at the lowest overall cost. There is a

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