Bottleneck for each product, Mathematics

 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?

 

Posted Date: 3/19/2013 2:28:05 AM | Location : United States







Related Discussions:- Bottleneck for each product, Assignment Help, Ask Question on Bottleneck for each product, Get Answer, Expert's Help, Bottleneck for each product Discussions

Write discussion on Bottleneck for each product
Your posts are moderated
Related Questions
robin runs 5 kilometers around the campus in the same length of time as he can walk 3 kilometers from his house to school. If he runs 4 kilometers per hour faster than he walks, ho

Definition of inverse functions :  Given two one-to-one functions f ( x ) and g ( x ) if ( f o g ) ( x ) = x  AND  ( g o f ) ( x ) = x then we say that f ( x ) & g ( x ) are i

How much greater is 0.0543 than 0.002? To ?nd out how much greater a number is, you required to subtract; 0.0543 - 0.002 = 0.0523. For subtract decimals and line the numbers up

use the expansion of (1-x)^7 to find the value of 1.998^7 correct to five significant figures

An aeroplane is flying at a specific height of 5 km, and at a velocity of 450 km/hr. A camera on the ground is pointed towards the plane, at an angle θ from the horizontal. As the

Weighted mean - It is the mean which employs arbitrarily given weights - This is a useful measure especially whereas assessment is being done yet the situation prevailing a


((1/x^1/2-(x-1)^1/2)+(1/(5-3(x-1)^2)^1/2)

∫1/sin2x dx = ∫cosec2x dx = 1/2 log[cosec2x - cot2x] + c = 1/2 log[tan x] + c Detailed derivation of ∫cosec x dx = ∫cosec x(cosec x - cot x)/(cosec x - cot x) dx = ∫(cosec 2 x

How can I solve x in a circle? For example.. m