14. Digital Controls, Inc. (DCI) manufactures two models of a radar gun used by police to mon- itor the speed of automobiles. Model A has an accuracy of plus or minus 1 mile per hour, whereas the smaller model B has an accuracy of plus or minus 3 miles per hour. For the next week, the company has orders for 100 units of model A and 150 units of model B. Although DCI purchases all the electronic components used in both models, the plastic cases for both models are manufactured at a DCI plant in Newark, New Jersey. Each model A case re- quires 4 minutes of injection-molding time and 6 minutes of assembly time. Each model B case requires 3 minutes of injection-molding time and 8 minutes of assembly time. For next week the Newark plant has 600 minutes of injection-molding time available and 1080 min- utes of assembly time available. The manufacturing cost is $10 per case for model A and $6 per case for model B. Depending upon demand and the time available at the Newark plant, DCI occasionally purchases cases for one or both models from an outside supplier in order to fill customer orders that could not be filled otherwise. The purchase cost is $14 for each model A case and $9 for each model B case. Management wants to develop a minimum cost plan that will determine how many cases of each model should be produced at the Newark plant and how many cases of each model should be purchased. The following decision variables were used to formulate a linear programming model for this problem: AM number of cases of model A manufactured BM number of eases of model B manufactured AP= number of cases of model A purchased BP number of cases of model B purchased
14. Digital Controls, Inc. (DCI) manufactures two models of a radar gun used by police to mon- itor the speed of automobiles. Model A has an accuracy of plus or minus 1 mile per hour, whereas the smaller model B has an accuracy of plus or minus 3 miles per hour. For the next week, the company has orders for 100 units of model A and 150 units of model B. Although DCI purchases all the electronic components used in both models, the plastic cases for both models are manufactured at a DCI plant in Newark, New Jersey. Each model A case re- quires 4 minutes of injection-molding time and 6 minutes of assembly time. Each model B case requires 3 minutes of injection-molding time and 8 minutes of assembly time. For next week the Newark plant has 600 minutes of injection-molding time available and 1080 min- utes of assembly time available. The manufacturing cost is $10 per case for model A and $6 per case for model B. Depending upon demand and the time available at the Newark plant, DCI occasionally purchases cases for one or both models from an outside supplier in order to fill customer orders that could not be filled otherwise. The purchase cost is $14 for each model A case and $9 for each model B case. Management wants to develop a minimum cost plan that will determine how many cases of each model should be produced at the Newark plant and how many cases of each model should be purchased. The following decision variables were used to formulate a linear programming model for this problem: AM number of cases of model A manufactured BM number of eases of model B manufactured AP= number of cases of model A purchased BP number of cases of model B purchased
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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Transcribed Image Text:14. Digital Controls, Inc. (DCI) manufactures two models of a radar gun used by police to mon-
itor the speed of automobiles. Model A has an accuracy of plus or minus 1 mile per hour,
whereas the smaller model B has an accuracy of plus or minus 3 miles per hour. For the next
week, the company has orders for 100 units of model A and 150 units of model B. Although
DCI purchases all the electronic components used in both models, the plastic cases for both
models are manufactured at a DCI plant in Newark, New Jersey. Each model A case re-
quires 4 minutes of injection-molding time and 6 minutes of assembly time. Each model B
case requires 3 minutes of injection-molding time and 8 minutes of assembly time. For next
week the Newark plant has 600 minutes of injection-molding time available and 1080 min-
utes of assembly time available. The manufacturing cost is $10 per case for model A and $6
per case for model B. Depending upon demand and the time available at the Newark plant,
DCI occasionally purchases cases for one or both models from an outside supplier in order
to fill customer orders that could not be filled otherwise. The purchase cost is $14 for each
model A case and $9 for each model B case. Management wants to develop a minimum
cost plan that will determine how many cases of each model should be produced at the
Newark plant and how many cases of each model should be purchased. The following
decision variables were used to formulate a linear programming model for this problem:
AM=number of cases of model A manufactured
BM number of cases of model B manufactured
AP number of cases of model A purchased
BP
number of cases of model B purchased
The lina LDMOL
rallows
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