I need a detailed assistance to solve this problem in: Operations Analysis. #4) A greengrocer has exactly 1,000 square feet available to display and sells 3 kinds of vegetables. The space consumed by each kind of vegetable is proportional to its cost, and tomatoes consume 0.5 square feet per pound. There is a $100 setup cost for replenishing any of the vegetables, and the interest rate is 25% per annum. The 3 vegetables for sale have the following data: Tomatoes: annual demand is 850 pounds and the cost per pound is $0.29. Lettuce: annual demand is 1280 pounds and the cost per pound is $0.45. Zucchini: annual demand is 630 pounds and the cost per pound is $0.25. a) - What is the optimal quantity for purchasing each vegetable (include all formulas)?
I need a detailed assistance to solve this problem in: Operations Analysis. #4) A greengrocer has exactly 1,000 square feet available to display and sells 3 kinds of vegetables. The space consumed by each kind of vegetable is proportional to its cost, and tomatoes consume 0.5 square feet per pound. There is a $100 setup cost for replenishing any of the vegetables, and the interest rate is 25% per annum. The 3 vegetables for sale have the following data: Tomatoes: annual demand is 850 pounds and the cost per pound is $0.29. Lettuce: annual demand is 1280 pounds and the cost per pound is $0.45. Zucchini: annual demand is 630 pounds and the cost per pound is $0.25. a) - What is the optimal quantity for purchasing each vegetable (include all formulas)?
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...
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I need a detailed assistance to solve this problem in: Operations Analysis.
#4) A greengrocer has exactly 1,000 square feet available to display and sells 3 kinds of vegetables. The space consumed by each kind of vegetable is proportional to its cost, and tomatoes consume 0.5 square feet per pound. There is a $100 setup cost for replenishing any of the vegetables, and the interest rate is 25% per annum. The 3 vegetables for sale have the following data:
- Tomatoes: annual demand is 850 pounds and the cost per pound is $0.29.
- Lettuce: annual demand is 1280 pounds and the cost per pound is $0.45.
- Zucchini: annual demand is 630 pounds and the cost per pound is $0.25.
- a) - What is the optimal quantity for purchasing each vegetable (include all formulas)?
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