The way Company C can maximize the weekly profit. Linear programming: It is a mathematical modeling procedure were a linear function is maximized or minimized subject to certain constraints. This method is widely useful in making a quantitative analysis which is essential for making important business decisions.

Question

The Decision Sciences Department is trying todetermine whether to rent a slow or a fast copier. Thedepartment believes that an employee’s time is worth$15 per hour. The slow copier rents for $4 per hour,and it takes an employee an average of 10 minutes tocomplete copying. The fast copier rents for $15 per hour,and it takes an employee an average of six minutes tocomplete copying. On average, four employees per hourneed to use the copying machine. (Assume the copyingtimes and interarrival times to the copying machineare exponentially distributed.) Which machine shouldthe department rent to minimize expected total cost perhour?

Answer 1

Question

Chapter 4, Problem 119P

Summary Introduction

To determine: The way Company C can maximize the weekly profit.

Linear programming:

It is a mathematical modeling procedure were a linear function is maximized or minimized subject to certain constraints. This method is widely useful in making a quantitative analysis which is essential for making important business decisions.

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