MindTap Business Statistics for Ragsdale's Spreadsheet Modeling & Decision Analysis, 8th Edition, [Instant Access], 2 terms (12 months)
8th Edition
ISBN: 9781337274876
Author: Cliff Ragsdale
Publisher: Cengage Learning US
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 4, Problem 7QP
Summary Introduction
To determine: The sensitivity report using solver.
a)
Summary Introduction
To determine: The amount of excess wiring and testing capacity exists.
b)
Summary Introduction
To determine: The total profit of the firm when it has 10 additional hours of wiring capacity.
c)
Summary Introduction
To determine: The amount of profit that must be increased on alternators.
d)
Summary Introduction
To determine: The change in the optimal solution for the given condition.
e)
Summary Introduction
To determine: The maximum profit that can be earned without changing the optimal solution.
f)
Summary Introduction
To determine: The change in the optimal solution for the given condition.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Combined-cycle power plants use two combustion turbines to produce electricity. Heat from the first turbine’s exhaust is captured to heat waterand produce steam sent to a second steam turbine that generates additional electricity. A 968-megawatt combined-cycle gas fired plant can be purchased for $450 million, has no salvage value, and produces a net cash flow(revenues less expenses) of $50 million per year over its expected 30-year life. Solve, a. If the hurdle rate (MARR) is 12% per year, how profitable an investment is this power plant? b. What is the simple payback period for the plant? Is this investment acceptable?
Long-Life Insurance has developed a linear model that it uses to determine the amount of term life Insurance a family of four should
have, based on the current age of the head of the household. The equation is:
y=150 -0.10x
where
y= Insurance needed ($000)
x = Current age of head of household
b. Use the equation to determine the amount of term life Insurance to recommend for a family of four of the head of the household is
40 years old. (Round your answer to 2 decimal places.)
Amount of term life insurance
thousands
Please solve
Chapter 4 Solutions
MindTap Business Statistics for Ragsdale's Spreadsheet Modeling & Decision Analysis, 8th Edition, [Instant Access], 2 terms (12 months)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, management and related others by exploring similar questions and additional content below.Similar questions
- Seas Beginning sells clothing by mail order. An important question is when to strike a customer from the companys mailing list. At present, the company strikes a customer from its mailing list if a customer fails to order from six consecutive catalogs. The company wants to know whether striking a customer from its list after a customer fails to order from four consecutive catalogs results in a higher profit per customer. The following data are available: If a customer placed an order the last time she received a catalog, then there is a 20% chance she will order from the next catalog. If a customer last placed an order one catalog ago, there is a 16% chance she will order from the next catalog she receives. If a customer last placed an order two catalogs ago, there is a 12% chance she will order from the next catalog she receives. If a customer last placed an order three catalogs ago, there is an 8% chance she will order from the next catalog she receives. If a customer last placed an order four catalogs ago, there is a 4% chance she will order from the next catalog she receives. If a customer last placed an order five catalogs ago, there is a 2% chance she will order from the next catalog she receives. It costs 2 to send a catalog, and the average profit per order is 30. Assume a customer has just placed an order. To maximize expected profit per customer, would Seas Beginning make more money canceling such a customer after six nonorders or four nonorders?arrow_forwardIf a monopolist produces q units, she can charge 400 4q dollars per unit. The variable cost is 60 per unit. a. How can the monopolist maximize her profit? b. If the monopolist must pay a sales tax of 5% of the selling price per unit, will she increase or decrease production (relative to the situation with no sales tax)? c. Continuing part b, use SolverTable to see how a change in the sales tax affects the optimal solution. Let the sales tax vary from 0% to 8% in increments of 0.5%.arrow_forwardDuring the year, Brownout Company experienced the following power outages:Number of Power Outages Per Month Number of Months 0 3 1 2 2 4 3 3 12Each power outage results in out of pocket costs of P400. For P500 per month, the company can lease an auxiliary generator to provide power during outages. If the company leases an auxiliarygenerator next year, the estimated savings (or…arrow_forward
- Define n/n problem with a suitable practical example. Multiple solution in case of certain n/2 problem? Explain.arrow_forwardDon't solve. Please give- Decision Variable Constraint Objective functionarrow_forwardWhat combination of x and y will yield the optimum for this problem? Maximize Z = $3x + $15y Subject to: Multiple Choice x= 0, y=4 x= 0, y=3 x= 0, y=0 x= 2y=0 O x=1,y=25 2x + 4y ≤ 12 5x + 2y ≤ 10arrow_forward
- I need 3 answersarrow_forwardCompany aims to determine the optimal number of products to be produced in order to maximize the total profit. a) Formulate the problem using algebraic method. b) Solve the model using the graphical method (indicate optimal solution and profit). C) again). Use graphical method to determine the shadow price for each of these resources (based on the definition of shadow price and by increasing each resource by one unit and solving the problem d) Use the Excel solver to do parts b and c. e) follow: Using Solver Table generate the optimal solution and the total profit for each resource as e1: Consider unit profit for product 1 (use range from 0 to 4 and increment of 1) e2: Consider unit profit for product 2 (use range from 0 to 4 and increment of 1) е3: Consider simultaneous changes for both unit profits in part e1 and e2 using given ranges. e4: Consider available resource of Raw material 1 (use range from 2 to 14 and increment of 1) e5: Consider available resource of Raw material 2 (use…arrow_forwardA manufacturer has the capability to produce both chairs and tables. Both products use the same materials (wood, nails and paint) and both have a setup cost ($100 for chairs, $200 for tables). The firm earns a profit of $20 per chair and $65 per table and can sell as many of each as it can produce. The daily supply of wood, nails and paint is limited. To manage the decision-making process, an analyst has formulated the following linear programming model:Max 20x1 + 65x2 – 100y1 – 200y2s.t. 5x1 + 10x2 ≤ 100 {Constraint 1}20x1 + 50x2 ≤ 250 {Constraint 2}1x1 + 1.5x2 ≤ 10 {Constraint 3}My1 ≥ x1 {Constraint 4}My2 ≥ x2 {Constraint 5}yi={1, if product j is produced0, otherwiseyi=1, if product j is produced0, otherwiseWhich of the constraints limit the amount of raw materials that can be consumed? A. Constraint 1 B. Constraint 4 C. Constraint 5 D. Constraint 1 and 4 E. Constraint 1, 2 and 3arrow_forward
- D, E, F, G please. Table is providedarrow_forwardDONT SOLVE WRONG... SOLVE IF YOU ARE 5000% SURE Jaclyn is considering opening a location on campus to sell bubble tea. Her rent would be $500/month and she expects to sell each drink for $5. Variable costs are $0.85 and labor is $1.77. She also has the option to share space with a friend, which would cost her only $300/month in rent. Her friend wants $0.03 per bubble tea revenue sharing. What is Jaclyn’s new break-even point? If she sells 264 bubble teas, which option does she prefer? a. She prefers sharing space with her friend at Q=264. b. She is indifferent between the two choices at Q=264. c. She prefers working by herself at Q=264.arrow_forwardI’ve been able to find the optimal solution and resulting profit with excel solver. But can’t figure out how to set up the problem with POM QMarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,