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The Skimmer Boat Company manufactures three kinds of molded fiberglass recreational boatsa bass fishing boat, a ski boat, and a speedboat. The profit for a bass boat is $20,500, the profit for a ski boat is $12,000, and the profit for a speedboat is $22,300. The company believes it will sell more bass boats than the other two boats combined but no more than twice as many. The ski boat is its standard production model, and bass boats and speedboats are modifications. The company has production capacity to manufacture 210 standard (ski-type) boats; however, a bass boat requires 1.3 times the standard production capacity, and a speedboat requires 1.5 times the normal production capacity.

In addition, only 160 of the high-powered engines that are installed in the bass boats and 2 of those installed in the speedboats are available. The company wants to know how many boats of each type to produce to maximize profit.

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M92045939

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