Manufactures two types of metal file cabinets

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Reference no: EM131149564

Geraldine Shawhan is president of Shawhan File Works, a firm that manufactures two types of metal file cabinets. The demand for her 2-drawer model is up to 600 cabinets per week; demand for a 3-drawer cabinet is limited to 400 per week. Shawhan File Works has a weekly operating capacity of 1300 hours, with the 2-drawer cabinet taking 1 hour to produce and the 3-drawer cabinet requiring 2 hours. Each 2-drawer model sold yields a $10 profit, and the profit for the large model is $15. Shawhan has listed the following goals in rank order:

Rank 1: Attain a profit as close to $11,000 as possible each week.

Rank 2: Avoid underutilization of the firm's production capacity.

Rank 3: Sell as many two & 3-drawer cabinets as the demand indicates.

Set this up as a GP problem.

SOLVE USING EXCEL. ARE ANY GOALS UNACHIEVED IN THIS SOLUTION? Explain.

Reference no: EM131149564

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