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Quitmeyer Electronics Incorporated manufactures six microcomputer peripheral devices: internal modems, external modems, graphics circuit boards, floppy disk drives, hard disk drives, and memory expansion boards. Each of these technical products require time in minutes, on three type of electronic testing equipment, as shown in the table at the bottom of this.

The first two test devices are available 120 hours per week. Test device 3 requires more preventive maintenance and may be used only 100 hours each week. The market ofr all six computer components is vast, and Quitmeyer Electronics believes that it can sell as many units of each product as it can manufacture. The follow table summarizes the revenue and cost for each product

Device                  Revenue Per Unit            Material Cost per Unit

Internal Modem            200                                 35

External Modem           120                                 25

Graphics circuit board 180                               40

Floppy disk drive            130                               45

Hard disk drive               430                              170

Memory expansion board 260                        60

In addition variable labor cost are $15 per hour for test device 1, $12 per hour for test device 2, and $18 per hour for test device 3. Quitmeyer wants to determine the product max that maximizes profits. Formulate the problem as an LP model and solve it by using excel

Write the equations in a WORD document. .

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M91698730

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