Blue Leaf manufactures generators and alternators, both require wiring and testing during assembly. Each generator requires 2 hours of wiring and 1 hour of testing and are sold for $250 profit. Each alternator requires 3 hours of wiring and 2 hours of testing and are sold for $150 profit. There are 260 hours of wiring time and 140 hours of testing time in the next production cycle and Blue Leaf wants to maximize profit. Blue Leaf’s management also decides they must produce at least 20 generators and at least 20 alternators. But, if extra wiring time can be used for a very low cost, from a feasibility perspective, should Blue Leaf integrate it into the model? (Hint: Think about how the added wiring time changes the feasible area rather than any expense to the company).     no     it doesn't matter     yes     insufficient information

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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  1. Blue Leaf manufactures generators and alternators, both require wiring and testing during assembly. Each generator requires 2 hours of wiring and 1 hour of testing and are sold for $250 profit. Each alternator requires 3 hours of wiring and 2 hours of testing and are sold for $150 profit. There are 260 hours of wiring time and 140 hours of testing time in the next production cycle and Blue Leaf wants to maximize profit. Blue Leaf’s management also decides they must produce at least 20 generators and at least 20 alternators. But, if extra wiring time can be used for a very low cost, from a feasibility perspective, should Blue Leaf integrate it into the model? (Hint: Think about how the added wiring time changes the feasible area rather than any expense to the company).

       

    no

       

    it doesn't matter

       

    yes

       

    insufficient information

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