Question

The R. R. Bean Company produces, packages, and distributes freeze-dried food for the camping and outdoor sportsman market. R. R. Bean is ready to introduce a new line of products based on a new drying technology that produces a higher quality, tastier food, so they want to discontinue their current line. The basic ingredients of the current line are dried fruit, dried meat and dried vegetables. There are two products in the current line: the "Weekender" and the "Expedition." In its close-out catalog, the selling prices of the two products are $3.80 and $7.00 per package, respectively. Handling and shipping costs are $1.50 per package for each package, which are provided at no charge. The "Weekender" package consists of 3 ounces of dried fruit, 7 ounces of dried meat, and 2 ounces of dried vegetables. The "Expedition" package has 5 ounces of dried fruit, 18 ounces of dried meat, and 5 ounces of dried vegetables. R. R. Bean would like to deplete its inventories of "old technology" fruit, meat, and vegetables before introducing the new line. The current inventories are 10,000 ounces, 25,000 ounces, and 12,000 ounces respectively of fruit, meat, and vegetables. The book values of these inventories are $2000, $2500, and $1800. Any leftover inventory will be given to the local animal shelter at no cost or benefit to R. R. Bean. R. R. Bean is confident that it can sell all that it makes of the two products. What combination of current products should they produce to sell?

Please explain the constraints and solve using solver

Answer 1

Combination for maximum profit

• Weekender:2895 units; Expedition: 263 units

Constraint:

• Inventory used in making Weekender and Expedition <= Inventory available
• Units produced of weekender and expedition are integers