Find optimal solution affected, Operation Management

Assignment Help:

1. Sydneyville manufactures household and commercial furnishings. The office division produces two desks, rolltop and regular. Sydneyville constructs the desks in its plant outside Medford, Oregon, from a selection of woods. The woods are cut to a uniform thickness of 1 inch. For this reason, one measures the wood in units of square feet. One rolltop desk requires 10 square feet of pine, 4 square feet of cedar, and 15 square feet of maple. One regular desk requires 20 square feet of pine, 16 square feet of cedar, and 10 square feet of maple. The desks yield respectively $115 and $90 profit per sale. At the current time the firm has available 200 square feet of pine, 128 square feet of cedar, and 220 square feet of maple. They have backlogged orders for both desks and would like to produce the number of rolltop and regular desks that would maximize profit. a. Identify the decision variable. b. Write down the objective function. c. Write down the constraints. d. Solve the problem graphically. e. Solve the problem using EXCEL SOLVER. f. Find the optimal mix and optimal value. 2. Continuing with Q1 above, use Sensitivity (post optimality) analysis to answer following questions: a. Sydneyville's sales manager has renegotiated the contract for regular desks and now expects to make a profit of $125 on each. He excitedly conveys this information to the firm's production manager, expecting that the optimal mix of rolltop and regular desks will change as a result. Does it? b. Suppose that the new contract also has higher profit for the rolltop desks. If the new profit for the rolltop desks is $140, how will this change the optimal solution? c. A logging company has offered to sell Sydneyville an additional 50 square feet of maple for $5.00 per square foot. Based on the original objective function, would you recommend that they accept the offer? d. Assuming that Sydneyville purchases the 50 square feet of maple, how is the optimal solution affected?


Related Discussions:- Find optimal solution affected

Explain system of billing, Suppose you are the manager of an accounts recei...

Suppose you are the manager of an accounts receivable unit in a large company. You are switching to a new system of billing and record-keeping and need to train your three supervis

Objectives to draw the differing expectations of club member, Q1 Evaluate t...

Q1 Evaluate the service to club members and casual flyers by completing a table similar to Table 3.1. Q2 Chart the five performance objectives to show the differing expectations

Production & Purchasing Managements, Hierarchical planning in operations/Pr...

Hierarchical planning in operations/Production managemnt and the types of time frames in each hierarchy?

Define what leadership does to promote social responsibility, Create a rese...

Create a research paper that discusses how one company (of your choice) illustrates social responsibility in its environment. Discuss what leadership does to promote social resp

Find which city provides the lowest overall costs, Kelly Trucking, Inc., is...

Kelly Trucking, Inc., is planning a new warehouse to serve the western United States. Denver, Santa Fe, and Salt Lake City are under consideration. For each location, annual fixed

Quality and reliability & after sales service, Quality and Reliability & Af...

Quality and Reliability & After Sales Service - Operation Strategy Quality and reliability  The extent to which the customers' expectations are satisfied or exceeded by

Explain why should be performed before signing a contract, What due diligen...

What due diligence should be performed before signing a contract?

Explain what is the productivity measure, A hamburger factory produces 40,0...

A hamburger factory produces 40,000 hamburgers each week. The equipment used costs $5,000 and will remain productive for 4 years. The labor cost per year is $9,500. a. What is t

Explain skilled nursing care, A nursing home contracts with an HMO for skil...

A nursing home contracts with an HMO for skilled nursing care at $2.00 PMPM. If costs are expected to average $120 per day, what is the maximum utilization of days per 1,000 member

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