Par Inc., is a small manufacturer of golf equipment and supplies. Par's distributor believes a market exists for both a medium-priced golf bag, referred to as a standard model, and a high-priced golf bag, referred to as a deluxe model. The distributor is so confident of the market that, if Par can make the bags at a competitive price, the distributor will purchase all the bags that Par can manufacture over the next three months. A careful analysis of the manufacturing requirements resulted in the following table, which shows the production time requirements for the four required manufacturing operations and the accounting department's estimate of the profit contribution per bag. Production Time(hours) Cutting and Dyeng Sewing Finishing Inspection and Packaging Profit per Bag Product Standard 10 Deluxe 1 1 3 4- The director of manufacturing estimates that 630 hours of cutting and dyeing time. 600 hours of sewing time, 708 hours of finishing time, and 135 hours of inspection and packaging time will be available for the production of golf bags during the next three months. (Let S be the number of standard bags. Let D be the number of deluxe bags.) $10 Suppose that Par's management encounters the following situations. If each of these situations is encountered separately, what is the optimal solution and the total profit contribution? (a) The accounting department revises its estimate of the profit contribution for the deluxe bag to $18 per bag. The optimal solution occurs at (S. D)-( with a profit of s (b) A new low-cost material is available for the standard bag, and the profit contribution per standard bag can be increased to $20 per bag. (Assume that the profit contribution of the deluxe bag is the original $9 value.) The optimal solution occurs at (S. D) = ( with a profit of s (c) New sewing equipment is available that would increase the sewing operation capacity to 725 hours. (Assume that 105-90 is the appropriate objective function.) The optimal solution occurs at (S. D)= with a profit of s
Par Inc., is a small manufacturer of golf equipment and supplies. Par's distributor believes a market exists for both a medium-priced golf bag, referred to as a standard model, and a high-priced golf bag, referred to as a deluxe model. The distributor is so confident of the market that, if Par can make the bags at a competitive price, the distributor will purchase all the bags that Par can manufacture over the next three months. A careful analysis of the manufacturing requirements resulted in the following table, which shows the production time requirements for the four required manufacturing operations and the accounting department's estimate of the profit contribution per bag. Production Time(hours) Cutting and Dyeng Sewing Finishing Inspection and Packaging Profit per Bag Product Standard 10 Deluxe 1 1 3 4- The director of manufacturing estimates that 630 hours of cutting and dyeing time. 600 hours of sewing time, 708 hours of finishing time, and 135 hours of inspection and packaging time will be available for the production of golf bags during the next three months. (Let S be the number of standard bags. Let D be the number of deluxe bags.) $10 Suppose that Par's management encounters the following situations. If each of these situations is encountered separately, what is the optimal solution and the total profit contribution? (a) The accounting department revises its estimate of the profit contribution for the deluxe bag to $18 per bag. The optimal solution occurs at (S. D)-( with a profit of s (b) A new low-cost material is available for the standard bag, and the profit contribution per standard bag can be increased to $20 per bag. (Assume that the profit contribution of the deluxe bag is the original $9 value.) The optimal solution occurs at (S. D) = ( with a profit of s (c) New sewing equipment is available that would increase the sewing operation capacity to 725 hours. (Assume that 105-90 is the appropriate objective function.) The optimal solution occurs at (S. D)= with a profit of s
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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Transcribed Image Text:Par, Inc., is a small manufacturer of golf equipment and supplies. Par's distributor believes a market exists for both a medium-priced golf bag, referred to as a standard model, and a high-priced golf bag, referred to as a deluxe model. The distributor is so confident of the market that, if Par
can make the bags at a competitive price, the distributor will purchase all the bags that Par can manufacture over the next three months. A careful analysis of the manufacturing requirements resulted in the following table, which shows the production time requirements for the four
required manufacturing operations and the accounting department's estimate of the profit contribution per bag.
Product
Standard
Production Time(hours)
Cutting and Dyeng Sewing Finishing Inspection and Packaging Profit per Bag
Deluxe
10
1
1
22/0
를
14
The director of manufacturing estimates that 630 hours of cutting and dyeing time, 600 hours of sewing time, 708 hours of finishing time, and 135 hours of inspection and packaging time will be available for the production of golf bags during the next three months. (Let S be the number
of standard bags. Let D be the number of deluxe bags.)
Suppose that Par's management encounters the following situations.
If each of these situations is encountered separately, what is the optimal solution and the total profit contribution?
(a) The accounting department revises its estimate of the profit contribution for the deluxe bag to $18 per bag.
The optimal solution occurs at (S. D) =
with a profit of $
10
$10
with a profit of $
$9
(b) A new low-cost material is available for the standard bag, and the profit contribution per standard bag can be increased to $20 per bag. (Assume that the profit contribution of the deluxe bag is the original $9 value.)
The optimal solution occurs at (S, D) =
(c) New sewing equipment is available that would increase the sewing operation capacity to 725 hours. (Assume that 105 + 9D is the appropriate objective function.)
The optimal solution occurs at (S. D) =
with a profit of $
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