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

Find the distance between these two cities, Memphis, Tennessee, and New Orl...

Memphis, Tennessee, and New Orleans, Louisiana, lie approximately on the same meridian. Memphis has latitude 35°N and New Orleans has latitude 30°N. Find the distance between these

Graphs, How do I graph a round robin pool tournment with 6 players using gr...

How do I graph a round robin pool tournment with 6 players using graph theory

Lim.., how can solve limits

how can solve limits

Exponents., the (cube square root of 2)^1/2)^3

the (cube square root of 2)^1/2)^3

Formula to calculate the surface area of basketball, Keith wants to know th...

Keith wants to know the surface area of a basketball. Which formula will he use? The surface area of a sphere is four times π times the radius squared.

SHARES AND DIVIDEND, i am a student of class 10 and need help for making my...

i am a student of class 10 and need help for making my project on shares and dividend

Linear approximations, Linear Approximations In this section we will l...

Linear Approximations In this section we will look at an application not of derivatives but of the tangent line to a function. Certainly, to get the tangent line we do have to

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