MBA, Operation Management

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A paper mill produces two grades of paper viz., X and Y. Because of raw material
restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y
paper in a week. There are 160 production hours in a week. It requires 0.20 and 0.40 hours to
produce a ton of grade X and Y papers. The mill earns a profit of Rs. 200 and Rs. 500 per ton
of grade X and Y paper respectively.

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