Problem 2:
Beaver Creek Pottery Company is a small crafts operation run by a Native American tribal council. The company employs skilled artisans to produce clay bowls and mugs. The three primary resources used by the company are special pottery clay, dryer machine and skilled labor. The company desires to know the daily production mix for the two products to maximize profit. The resource requirements for production and profit per item are given below:
|
Resource Requirements
|
|
Product
|
Labor
(HR./UNIT)
|
Dryer Machine
(HR./UNIT)
|
Clay
(LB/UNIT)
|
Profit
($/UNIT)
|
|
Bowl
|
1
|
0.1
|
4
|
40
|
|
Mug
|
2
|
0.3
|
3
|
50
|
There are 40 hours of labor, 120 pounds of clay and 12 hours of dryer-machine time available each day for production.
Use spreadsheet modeling and find the optimal number of bowls and mugs to produce in order to maximize total profit.