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Company A's nationally advertised brand is Brand X. Contribution to profit with Brand X is $40 per case.
Company A's re-proportioned formula is sold under a private label Brand Y. Contribution to profit with Brand Y is $30 per case.
Company A's objective is to maximize the total contribution to profit.
Three constraints limit the number of cases of Brand X and Brand Y that can be produced.
Constraint 1: The available units of nutrient C (n) is 30.
Constraint 2: The available units of flavor additive (f) is 72.
Constraint 3: The available units of color additive (c) is 90.
Material units per case of Brand X and Brand Y:
Product
Brand X Brand Y Formula for a case of Brand X = 4n+12f+6c
Nutrient C:
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The other two extreme points must be solved using both line equations simultaneously: Of the five extreme points, one point will provide the maximum profit contribution.
Solving for the extreme point where the color and nutrient lines intersect subtract the two equations:
1) 6X + 15Y = 90 Multiply this equation by 2 to eliminate the X variable
4X + 4Y = 30 Multiply this equation by 3 to eliminate the X variable
2) 12X + 30Y = 180
12X + 12Y = 90 Subtract equation two from equation one 18Y = 90 Y = 5 Substituting Y = 5 back into the first equation
6X + 15(5) = 90 6X + 75 = 90 6X = 15 X = 2.5 Extreme point = (2.5,5)
Solving for the extreme point where the flavor and nutrient lines intersect subtract the two equatitions:
1) 12X + 6Y = 72 4X + 4Y = 30 Multiply this equation by 3 to eliminate the x variable
2) 12X + 6Y = 72 Subtract equation two from equation one
12x + 12y = 90 -6Y = -18 Y = 3 Substituting Y = 3 back into the first equation
12X + 6(3) = 72
12X + 18 = 72 12X = 54 X = 4.5 Extreme point = (4.5,3)
B. Determine the total contribution to profit if the company produces a combination of cases of Brand X and Brand Y that lies on the purple objective function (profit line) as it is plotted on "Graph 1".
The
Now, we have the system of equation, 3j + 5p= 7.60 and j + 2p= 2.90. Our next step is to plug in j and use the substitution method by changing the j + 2p= 2.90 to -2p + 2.90. Then, we plug this into our first equation. 3(-2p + 2.90) + 5p = 7.60. Now, we use the distributive property. 3 x -2= 6 and 3 x 2.90= 8.70. Now, we have 8.70 – 6p + 5p= 7.60. Then, we combine the like terms in the equation, which
So we start of with x^2-4x+y^2+8y=-4 you would then take 1/2 of -4 and square it, then take 1/2 of 8 and square it. You would then get x^2-4x+4-4+(y^2+8y+16-16=-4. After all of these steps you would factor the square, x-2^2-4+y+42-16=-4, x-2^2+y+4^2-20=-4. Then you would add 20 to both sides, x-)^2+y+4^2=16
A. 6x – 12 [(Six times a number means 6x, and twelve less mean -12)]
The sum of their squares is a minimum. Write the two equations required to solve this system of equations.
Additional sales dollars must be produced to cover each $1.00 of incremental advertising for Red-Away
Breakeven Analysis for Product Tylenol Approach 1 - Same price as Tylenol Approach 2a - Cheaper than Tylenol Approach 2b - Cheaper w/lowered trade cost $ $ $ $ Unit Cost (Variable Cost) 0.60 0.60 0.60 0.60 Trade Cost (Selling Price to Retailers) $ 1.69 $ 1.69 $ 1.05 $ 0.70 Fixed Cost (Advertising) 2,000,000 6,000,000 6,000,000 6,000,000 Break-Even Quantity [Fixed Cost/(Trade Cost-Unit Cost)] 1,834,862 5,504,587 13,333,333 60,000,000 Contribution Margin (Unit) 64% 64% 43% 14%
8. Using the ABC data, compute the average contribution to profit per account for both retail and business customers. What business strategy would be a manager using the ABC cost system likely adopt? How does this result compare to your response to Requirement 1, Part E?
Using Graph 1: The Volume of Titrant Added in order to reach the Endpoint and the Corresponding pH Values, observe the vertical line of each titration and see the points in which the horizontal lines intersect it. These points give the
The firm initially produces where MR=MC charging price P1 and quantity Qa. At this price the firm has a large amount of
The Wiethoff Company has a contract to produce 10000 garden hoses for a customer. Wiethoff has 4 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.
For each target fill rate the proportion of bottles filled correctly had to be determined. This calculation provides a breakdown between cases that can be sold for the full amount of $186 and cases that are designated as seconds, which are sold for 80% of the full price or $148.80. Revenue per case grows continuously as the target fill rate increases. From the blending costs which include $67,662 of active ingredient per 5000 liters, and blending labor of $432 per 5000 liter batch the cost per ounce of medication is approximately $0.40. This provides input for the active ingredient cost. Based on the labor cost of $8.50 per hour at 12 cases per hour, the input for rework cost per case is approximately $0.70 per case. Contribution per case is derived from the revenue minus the costs. The contribution per case is the performance criteria that our decision is based upon.
concentration was plotted in order to estimate the concentration of the unknown solution (Figure 3).
It was clearly stated in the case that the products from those private-label brands can be 20 percent, or in some cases even 30 to 40 percent less than first-tier national brands. No matter what strategies P&G would use, it has to be related to a series of price adjustments to absorb the impact of the entering of low priced private-label product – in this case, Wal-Mart’s private-label diapers supplied by Kimberly Clark. Although the case didn’t provide any alternative solutions to the situation, in my opinion there were two main options to resolve the problem. The first option is to lower the price of P&G’s diaper product to better compete with Wal-Mart’s private-label. The second option is to mainly maintain or slightly raise the price to establish P&G’s diaper brand – Pampers as a premium brand in the segment.
After carrying out this process and the other to find all the missing values, a relationship between the increase of the values can be discerned. By carefully analyzing the table above, it can is concluded that while Intensity Level increase ten units, Intensity increase 10 times. By using a graphing utility
Next, we should also know how to draw them in the graph. Firstly we will need to find the gradient: