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Each coffee table produced by Kevin Watson Designers nets the firm a profit of $9. Each bookcase yields a $12 profit. Watson's firm is small and its resources limited. During any given production period (of 1 week), 10 gallons of varnish and 12 lengths of high-quality redwood are available. Each coffee table requires approximately 1 gallon of varnish and 1 length of redwood. Each bookcase takes 1 gallon of varnish and 2 lengths of wood.
Formulate Watson's production-mix decision as a linear programming problem, and solve. How many tables and bookcases should be produced each week? What will the maximum profit be?
If yes, describe the reasons for the failures of the effectiveness of these tools. If no, think of scenarios in which implementing TQM tools would be ineffective. Support your rationale with examples.
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Plot the demand curve and find the price elasticity of demand for the demand function D (X) = 20P-1 Plot the supply curve on the same set of axes as part 1 and find the price elasticity of supply for the supply function S (X) = 20p
If you had to make a presentation to the Warehouse Manager, what would be the main points of focus you would wish to communicate regarding the benefits of quality management?
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