The production planner for a private label soft drink maker is planning the production of two soft drinks: root beer (R) and sassafras soda (S). There are at most 12 hours per day of production time and 1,600 gallons per day of carbonated water available. A case of root beer requires 2 minutes of time and 6 gallons of water to produce, while a case of sassafras soda requires 3 minutes of time and 5 gallons of water. Profits for the root beer are $7.00 per case, and profits for the sassafras soda are $6.00 per case. The firm's goal is to maximize profits. What is the daily profit when producing the optimal amounts?
The production planner for a private label soft drink maker is planning the production of two soft drinks: root beer (R) and sassafras soda (S). There are at most 12 hours per day of production time and 1,600 gallons per day of carbonated water available. A case of root beer requires 2 minutes of time and 6 gallons of water to produce, while a case of sassafras soda requires 3 minutes of time and 5 gallons of water. Profits for the root beer are $7.00 per case, and profits for the sassafras soda are $6.00 per case. The firm's goal is to maximize profits. What is the daily profit when producing the optimal amounts?
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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