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1. Write a linear program for the problem. 2. What is the optimal production mix among different coffee varieties and the profit associated with it? 3. What should be the per bag profit of Tarrazu which will make it beneficial to produce this variety? 4. One Cup is considering increasing the weekly bags to 150. If it costs One Cup $3.00 per bag to procure beans of any variety. Conduct sensitivity analysis and determine if One Cup should consider increasing the per week production. 5. Identify the range over which per bag profit of Sumatra and Kona may vary and still retain the current production plan as optimal for One Cup. 6. Once roasted the coffee beans must be preserved properly. To ensure that, One Cup Coffee is considering investing in a vacuum packaging machine for 24 hours/ week. It takes 10, 15 and 10 minutes to pack a bag of Sumatra, Kona and Tarazzu respectively. Identify if the current production plan will suit the installation of the new packaging scheme.

1. Write a linear program for the problem. 2. What is the optimal production mix among different coffee varieties and the profit associated with it? 3. What should be the per bag profit of Tarrazu which will make it beneficial to produce this variety? 4. One Cup is considering increasing the weekly bags to 150. If it costs One Cup $3.00 per bag to procure beans of any variety. Conduct sensitivity analysis and determine if One Cup should consider increasing the per week production. 5. Identify the range over which per bag profit of Sumatra and Kona may vary and still retain the current production plan as optimal for One Cup. 6. Once roasted the coffee beans must be preserved properly. To ensure that, One Cup Coffee is considering investing in a vacuum packaging machine for 24 hours/ week. It takes 10, 15 and 10 minutes to pack a bag of Sumatra, Kona and Tarazzu respectively. Identify if the current production plan will suit the installation of the new packaging scheme.

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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1. Write a linear program for the problem.

2. What is the optimal production mix among different coffee varieties and the profit associated with it?

3. What should be the per bag profit of Tarrazu which will make it beneficial to produce this variety?

4. One Cup is considering increasing the weekly bags to 150. If it costs One Cup $3.00 per bag to procure beans of any variety. Conduct sensitivity analysis and determine if One Cup should consider increasing the per week production.

5. Identify the range over which per bag profit of Sumatra and Kona may vary and still retain the current production plan as optimal for One Cup.

6. Once roasted the coffee beans must be preserved properly. To ensure that, One Cup Coffee is considering investing in a vacuum packaging machine for 24 hours/ week. It takes 10, 15 and 10 minutes to pack a bag of Sumatra, Kona and Tarazzu respectively. Identify if the current production plan will suit the installation of the new packaging scheme.

The One Cup Coffee House stocks three varieties of fine coffee beans: Sumatra, Kona and Tarrazu. To maintain the quality of their coffee, the total number of bags produced by the Coffee House never exceeds 100 bags per week. The coffee beans are carefully dried on drying tables and roasted before they are packaged. These requirements are stated in the table below. Roasting machine is available for 400 hours and 600 drying tables are available. The Coffee house wants to determine how many bags of coffee of each variety to stock this week so as to maximize their profits. Variety Sumatra Drying (tables/bag) Roasting (hours/bag) Profit ($/bag) 1 6 Kona 5 11 Tarrazu 4 9.
Transcribed Image Text:The One Cup Coffee House stocks three varieties of fine coffee beans: Sumatra, Kona and Tarrazu. To maintain the quality of their coffee, the total number of bags produced by the Coffee House never exceeds 100 bags per week. The coffee beans are carefully dried on drying tables and roasted before they are packaged. These requirements are stated in the table below. Roasting machine is available for 400 hours and 600 drying tables are available. The Coffee house wants to determine how many bags of coffee of each variety to stock this week so as to maximize their profits. Variety Sumatra Drying (tables/bag) Roasting (hours/bag) Profit ($/bag) 1 6 Kona 5 11 Tarrazu 4 9.
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