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The New England Cheese Company produces two cheese spreads by blending mild cheddar cheese with extra sharp cheddar cheese. The cheese spreads are packaged in 12-ounce containers, which are then sold to distributors throughout the Northeast. The Regular blend contains 80% mild cheddar and 20% extra sharp, and the Zesty blend contains 60% mild cheddar and 40% extra sharp. This year, a local dairy cooperative offered to provide up to 8,100 pounds of mild cheddar cheese for $1.20 per pound and up to 3,000 pounds of extra sharp cheddar cheese for $1.40 per pound. The cost to blend and package the cheese spreads, excluding the cost of the cheese, is $0.20 per container. If each container of Regular is sold for $1.95 and each container of Zesty is sold for $2.20, how many containers of Regular and Zesty should New England Cheese produce? Do not round intermediate calculations. If required, round your answers to the nearest whole number.

Let R = number of containers of Regular

Z = number of containers of Zesty

Optimal Solution: R =_____ , Z =____ , profit = $______ .

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92435547

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