Answered: Holcomb Candles, Inc., manufactures…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

See similar textbooks

Related questions

Question

Holcomb Candles, Inc., manufactures decorative candles and has contracted with a national retailer to supply a set of special holiday candles to its 8,500 stores. These include large jars, small jars, large pillars, small pillars, and a package of four votive candles. In negotiating the contract for the display, the manufacturer and retailer agreed that 8 feet would be designated for the display in each store, but that at least 2 feet would be dedicated to large jars and large pillars together, and at least 1 foot to the votive candle packages. At least as many jars as pillars must be provided. The manufacturer has obtained

200,000

pounds of wax,

250,000

feet of wick, and

125,000

ounces of holiday fragrance. The amount of materials and display size required for each product are shown in the accompanying table. How many of each product should be made to maximize the profit?

Click here to view the materials and display size data.

Question content area bottom

Part 1

Complete the table below to indicate how many of each candle should be made to maximize profit.

Large Jar	Small Jar	Large Pillar	Small Pillar	Votive Pack
enter your response here	enter your response here	enter your response here	enter your response here	enter your response here

(Round to the nearest whole number as needed.)

Part 2

Use the model to calculate the maximum profit.

Maximum

Profit=$enter your response here

(Round to the nearest cent as needed.)

	Large jar	Small jar	Large pillar	Small pillar	Votive pack
Wax	0.5	0.25	0.5	0.25	0.3125
Fragrance	0.24	0.12	0.24	0.12	0.15
Wick	0.43	0.22	0.58	0.33	0.8
Display feet	0.48	0.24	0.23	0.23	0.26
Profit/unit	0.26	0.21	0.25	0.22	0.17