Question

In: Statistics and Probability

Bulldog, Inc. is a Texas-based audio equipment manufacturer. It produces two kinds of audio speakers. The...

Bulldog, Inc. is a Texas-based audio equipment manufacturer. It produces two kinds of audio speakers. The first kind is a bookshelf speaker, called BSS. The other kind is a floor speaker, called FLS.

Both BSS and FLS use cherry wood for speaker body structure. Each BSS uses 2 sheets of cherry wood and each FLS uses 5 sheets of cherry wood for production. Each month Bulldog, Inc. has 600 sheets of cherry wood available for production.

According to its metropolitan user survey, most people prefer BSS due to its compact size. Bulldog, Inc. wants BSS’s monthly production to be at least 120 units. Since Bulldog, Inc. only has one warehouse, its total combined production of BSS and FLS cannot exceed 255 units. Currently each BSS can bring in $150 as unit profit and each FLS can bring in $300 as unit profit. Bulldog, Inc. wants to find a production mix for BSS and FLS to maximize Bulldog, Inc. monthly profit.

1) Formulate this problem as a linear program.

2) Solve this linear program graphically for the optimal solution. Report the optimal solution.

3) What is the profit generated by using the above optimal solution?

After you finish the above problem, you received a memo from the Bulldog, Inc. sales manager. According to the ongoing promotion event, the revised unit profit is now $100 for BSS and $400 for FLS based on the new marketing information.

4) What will be your modified optimal solution based on the information from the sales manager?

5) What is the modified profit?

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orchestra answered 1 year ago

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