A manufacturing company V makes three components: A, B & C which are produced in two machines S and G. To produce each unit of A, B, and C the machine S takes, 6, 4, and 4 minutes, respectively. To produce each unit of A, B, and C the machine G takes, 4, 5, and 2 minutes, respectively. The machine S is available for 120 hours and G is for 110 hours. No more than 200 units of component C can be sole, but up to 1000 unit of each of the other components can be sold. The company V already has order for 600 units of component A that must be satisfied. The profit contribution of components A, B, and C are $8, $6 and $9, respectively.
a. Formulate and solve for the recommended production quantities.
b. What are the objective coefficient ranges for the three components? Interpret
these ranges for company management.
c. What are the right hand side ranges? Interpret these ranges for company
management.
d. If more of component C can be sold by reducing it sales price by $4 should the
company reduce price?
e. Write a managerial report on your findings.
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