A manufacturer of two products (Widgets and Gadgets) makes a profit of $140 for each widget sold and $200 for each gadget sold.However, production of these products generates hazardous waste charges at the rate of 1w (where W is the number of Widgetsproduced) and 26 (where G is the number of Gadgets produced). The manufacturer has ample supplies of all raw materials and cansell all the Widgets and Gadgets it produces. The firm has sufficient capacity to produce any realistic quantity of both products.What is the optimal quantity of each product to produce? (Round your answers to 1 decimal place.)Widgets andGadgetsWhat is the maximum profit the manufacturer can earn? (Round your answer to 2 decimal places.)Maximum profit< Prevxt >2 of 5ASUS

Answered: Image /qna-images/answer/6785e0dc-172c-43c6-a475-fa8405524ecf.jpg

Answered: A manufacturer of two products (Widgets…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 33P: Assume the demand for a companys drug Wozac during the current year is 50,000, and assume demand...

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A company handles an apartment building with 50 units. Experience has shown that if the rent for each of the units is $640 per month, all of the units will be filled, but 1 unit will become vacant for each $20 increase in this monthly rate. If the monthly cost of maintaining the apartment building is $12 per rented unit, what rent should be charged per month to maximize the profit?$
The ore of a gold mine in the province contains, on average, 0,5 ounce of gold per ton Method A of processing costs 150Photon and recovers 93% of the gold, while Method B costs only 120Php/ton and recovers 81% of the gold. If gold can be sold at 1,200/ounce, which method is better and by how much?
Assume the demand for a company’s drug Wozac during the current year is 50,000, and assume demand will grow at 5% a year. If the company builds a plant that can produce x units of Wozac per year,it will cost $16x. Each unit of Wozac is soldfor $3. Each unit of Wozac produced -incurs a variable production cost of $0.20. It costs $0.40 per year to operate a unit of capacity.Determine how large a Wozac plant the company should build to maximize its-expected profit over the next 10 years.
A manufacturer produces both widgets and gadgets. Widgets generate a profit of $70 each and gadgets have a profit margin of $45 each. To produce each item, a setup cost is incurred. This setup cost is $400 for widgets and $500 for gadgets. Widgets consume 5 units of raw material A and 6 units of raw material B. Gadgets consume 6 units of raw material A and 2 units of raw material B. Each day, the manufacturer has 500 units of each raw material available. Assume that it is possible to produce fractional quantities of widgets and gadgets.Set up the problem in Excel and find the optimal solution. (Leave no cells blank — be certain to enter "0" wherever required. Round your answers to 2 decimal places.) (Round your answer to 2 decimal places.)
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. A commercial orchard grows, picks, and packs apples and pears. A peck (quarter bushel) of apples takes 4 minutes to pick and 5 minutes to pack; a peck of pears takes 5 minutes to pick and 4 minutes to pack. Only one picker and one packer are available. How many pecks each of apples and pears should be picked and packet every hour (60 minutes) if the profit is $3/peck for apples and $2/peck for pears? Solve graphically as a linear program and confirm analytically.
An automotive warehouse stocks a variety of parts that are sold at neighborhoodstores. One particular part, a popular brand of oil filter, is purchased by thewarehouse for $1.50 each. It is estimated that the cost of order processing andreceipt is $100 per order. The company uses an inventory carrying charge based on warehouse for $1.50 each. It is estimated that the cost of order processing andreceipt is $100 per order. The company uses an inventory carrying charge based ona 28 percent annual interest rate.The monthly demand for the filter follows a normal distribution with mean280 and standard deviation 77. Order lead time is assumed to be five months.Assume that if a filter is demanded when the warehouse is out of stock, then thedemand is back-ordered, and the cost assessed for each back-ordered demand is$12.80. Determine the following quantities:a. The optimal values of the order quantity and the reorder level.b. The average annual cost of holding, setup, and stock-out associated…
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Cantel Company produces cleaning compounds for both commercial and household customers. Some of these products are produced as part of a joint manufacturing process. For example, GR37, a coarse cleaning powder meant for commercial sale, costs $1.90 a pound to make and sells for $2.00 per pound. A portion of the annual production of GR37 is retained for further processing in a separate department where it is combined with several other ingredients to form SilPol, which is sold as a silver polish, at $5.00 per unit. The additional processing requires 1/4 pound of GR37 per unit; additional processing costs amount to $3.90 per unit of SilPol produced. Variable selling costs for SilPol average $0.50 per unit. If production of SilPol were discontinued, $1,000 of costs in the processing department would be avoided. Cantel has, at this point, unlimited demand for, but limited capacity to produce, product GR37. Required: 1. Calculate the minimum number of units of SilPol that would have to be…

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