In: Finance
The Westfall Company has a contract to produce 10,000 garden hoses for a large discount chain. Westfall has four different machines that can produce this kind of hose. Because these machines are from different manufacturers and use differing technologies, their specifications are not the same.
Machine |
Fixed Cost to Set |
Variable Cost |
Capacity |
1 |
750 |
1.25 |
6000 |
2 |
500 |
1.50 |
7500 |
3 |
1000 |
1.00 |
4000 |
4 |
300 |
2.00 |
5000 |
?
Implement a spreadsheet model and use Excel Solver to obtain a solution to the problem. Submit your Excel Solver file.
Hint: Some combination of the machines will be used to achieve the objective. All machines may or may not be used.