Gustazo coffee rosters gcr sells two types of one pound, Ask an Expert

Management Studies

Gustazo Coffee Rosters (GCR) sells two types of one pound coffee bags: Coffee Breakfast Blend and Super Crema Blend. Because GCR doesn’t grow the coffee, it usesvthird-party suppliers to acquire coffee beans. The company utilizes a quality ratingvsystem (goes from 3 to 10) to appraise the quality of the purchased coffee. Currently, the company has on hand 10,000 lb. of grade 10 coffee and 12,000 lb. of grade 7 coffee.The average quality of Coffee Breakfast Blend must be at least 8, and the average quality of Super Crema blend must be at least 6. Each pound of grade 10 coffee cost $5.00 and each pound of grade 7 coffee, $3.25. Each bag of Coffee Breakfast Blend sells for $8.00, and each bag of Super Creme Blend sells for $12.00. At least, 2000 bags of Coffee Breakfast Blend have to be produce. Formulate an LP model that maximizes GCR’s total profit, describe the decision variables, solve the model, and interpret/explain Solver’s output.

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M93093142

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