The Multi Resource Company manufactures two lines of washing machines, Regular and Deluxe. The contribution margin of a Regular model is $110 and a Deluxe model is $175. The company has two departments, Assembly and Testing. The Regular model requires three hours to assemble while a Deluxe model requires four hours. The total time available in Assembly is 12,000 hours. In the Testing Department, it requires 2.5 hours to test a Regular model and 1.5 hours to test a Deluxe model. A total of 6,000 hours of testing time is available. To maximize profit, Multi Resource should manufacture 4,000 Deluxe models. 3,000 Deluxe models. 1,091 Regular models and 2,182 Deluxe models. 4,000 Regular models.
Posted on: Sun, 09 Mar 2014 08:57:59 +0000
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