Martha Manufacturing makes three products. Each product requires manufacturing operations in…
- Martha Manufacturing makes three products. Each product requires manufacturing operations in three departments: A, B, and C. The labor-hour requirements, by department, are as follows:
|
Department |
Product 1 |
Product 2 |
Product 3 |
|
A |
2.00 |
1.5 |
3.00 |
|
B |
2.50 |
2.00 |
1.00 |
|
C |
0.25 |
0.25 |
0.25 |
During the next production period, the labor-hours available are 450 in department A, 350 in department B, and 50 in department C. The profit contributions per unit are $25 for product1, $28 for product 2, and $30 for product 3. Setup costs are $400 for product 1, $550 for product 2, and $600 for product 3
- Formulate a linear programming model for maximizing total profit contribution. (6 marks)
- Solve the linear program formulated in part (a). How much of each product should be produced, and what is the projected total profit contribution? (7 marks)
