Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

An ice cream maker has hired you to help him decide next month's production sched- ule. He needs to determine the quantities of each flavor that should be produced based on the profitability of each flavor and several restrictions. He has the capabil- ity of producing six different flavors of ice cream: (1) super-super premium mocha chip, (2) super premium chocolate chocolate chip, (3) super premium snickers bar crunch, (4) vanilla, (5) chocolate ice milk, and (6) Yuppie's Delight frozen yogurt. Each product is only available in quarts and has the following unit profits for the ice cream maker:

 

Product

Unit Profit ($/quart)

Super-Super Premium Mocha Chip

1.00

Super Premium chocolate chocolate chip

0.75

Super Premium Snickers Bar Crunch

0.88

Vanilla

0.43

Chocolate Ice Milk

0.50

Yuppie's Delight Frozen Yogurt

1.05

The total production capacity of the ice cream maker's plant is 10,000 gallons per month. He also knows that he can only sell 1,000 gallons of super-super premium mocha chip, and he must produce at least 2,500 gallons of chocolate ice milk for the local school district. Finally, because he is introducing Yuppie's Delight frozen yogurt and doesn't know the market for this product, he only wants to produce 500 gallons in the next month. Assuming he wishes to maximize profit, given these restrictions, formulate this decision problem as an LP model in general form. Solve it using Solver, and report and analyze the optimal solution.

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91548073
  • Price:- $10

Priced at Now at $10, Verified Solution

Have any Question?


Related Questions in Microeconomics

Question visualizing global economic issues the effects of

Question: Visualizing global economic issues: The effects of an import quota In which industries do you suppose policymakers are more likely to impose quotas: goods or services? Why? Management notebook: U.S. taxpayers s ...

Question jared bernstein an economist at the center on

Question: Jared Bernstein, an economist at the Center on Budget and Policy Priorities, has stated: "I want to see receipt of unemployment insurance go up in recessions." If government unemployment insurance payments didn ...

Question in an effort to move the economy out of recession

Question: In an effort to move the economy out of recession, the federal government would engage in expansionary economic policies. Respond to the following points in your paper on the action the government would take to ...

Question jones graduated college a few years ago and cant

Question: Jones graduated college a few years ago and can't find a good job. When I suggested she go back and major in economics this time around, she responded that she couldn't because she had already spent so many yea ...

Question the lei consumer expectations and ism then napm

Question: The LEI, consumer expectations, and ISM (then NAPM) surveys all predicted a much more robust recovery in 1991-2 than actually happened. What factors intervened to keep real growth at an unusually low rate early ...

Question - please recall one example from your life where

Question - Please recall one example from your life where you bought a product that you did not really need and you regretted after the purchase. What motivated you to buy the product? Why did you regret? Your discussion ...

Question at your favorite bond store you see the following

Question: At your favorite bond store, you see the following prices: • 1-year $100 zero selling for $90.19 • 3-year 10% coupon $1000 par bond selling for $1000 • 2-year 10% coupon $1000 par bond selling for $1000 Assume ...

Question what were the fiscal policies from 2000-2010 and

Question: What were the fiscal policies from 2000-2010 and how were they related to macroeconomics? What were the fiscal policy actions and how did it impact the economy through the decade? The response must be typed, si ...

Question answer these three questions about early-stage

Question: Answer these three questions about early-stage corporate finance: a. Why do very small companies tend to raise money from private investors instead of through an IPO? b. Why do small, young companies often pref ...

Question a monte carlo analysis question an online apparel

Question: A Monte Carlo Analysis question: An online apparel retailer will sell winter coats this season. The retailer purchases the coats from a supplier at a cost of $175 and will sell them for $250. Demand has been fo ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As