Consider Miller Chemicals that produces water purification crystals for swimming pools. The major inputs used in the production process are labor, raw materials and energy. Thelabor costs are $200,000; raw materials costs are $80,000; and energy costs are $9,000.Labor costs in year two are $350,000; raw materials costs $95,000; and energy costs $11,000.Labor costs in year three are $350,000; raw materials costs $40,000; and energy costs $6,000.Miller Chemical produced 100,000 pounds of crystal in year 1; 150,000 pounds of crystals in year 2, and 184,500 pounds of crystals inyear 3.(Enter yourThe productivity in year two increases/decreases bynumbers only. Do not separate them with a comma or other marks)and the productivity from year one to year two increases/decreases by

The question is related to Productivity. Productivity is the measure of efficicency of production…

Answered: Consider Miller Chemicals that produces…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter7: Nonlinear Optimization Models

Section: Chapter Questions

Problem 52P

See similar textbooks

Similar questions

RMC, Inc., is a small firm that produces a variety of chemical products. In a particular production process, three raw materials are blended (mixed together) to produce two products: a fuel additive and a solvent base. Each ton of fuel additive is a mixture of 25 ton of material 1 and 35 of material 3. A ton of solvent base is a mixture of 12 ton of material 1, 15 ton of material 2, and 310 ton of material 3. After deducting relevant costs, the profit contribution is $40 for every ton of fuel additive produced and $30 for every ton of solvent base produced. RMC’s production is constrained by a limited availability of the three raw materials. For the current production period, RMC has available the following quantities of each raw material: RAW MATERIAL Amount Available for Production Material 1 20 Tons Material 2 5…
During the first year software will be purchased from a reputable vendor for $3,000,000. An internal team aided by a hired consulting is also used. The payroll for the internal team is $500,000 for the first year and increases by $500,000 in years two and three. Also, $500,000 will be spent on consulting during the first year and $1,000,000 during each of years two and three. $2,000,000 will need to be invested in hardware during the second year and an additional $500,000 investment in hardware will be needed for year three. $200,000 in training will be needed the first year, $500,000 the second year, and $2,000,000 the third year. Management considers the expenditures for the first three years as investment in the system. Management estimates the operating cost of the system to be $2,500,000 (for personnel and other costs) in year 4 and to grow by 6% per year for years 5 through 10. The benefits are estimated to be $4,000,000 for year 4 and to grow by 30% per year for years 5…
The Bargain Hut has 2400 cubic feet of storage space for refrigerators. Large refrigerators come in 60-cubic-foot packing crates and small refrigerators come in 40-cubic-foot crates. Large refrigeratorscan be sold for a $250 profit and the smaller ones can be sold for $150 profit. How many of each typeof refrigerator should be sold to maximize profit and what is the maximum profit if:a) If the manager wants to sell at least 50 refrigerators must be sold each month, how many large refrigerators and how many smaller refrigerators should he/she order each month to maximize profit?b) At least 40 refrigerators must be sold each month.
A janitorial service, Mother’s Helpers, provide workers to clean office buildings during late evening hours using workers with two skill levels, 1 and 2. Each level 1 person is paid $12 per hour and each level 2 person is paid $8 per hour. The workers wash floors and vacuum offices. Each level 1 person can vacuum 9 offices per hour, whereas level 2 person can vacuum only 2 offices per hour. Each level 1 person can wash 2 floors per hour; whereas level 2 person can wash 3 floors per hour. In order to complete a new job in the allotted time, 18 offices must be vacuumed per hour and 12 floors must be washed per hour. Use Excel and determine the number of each type of person that will be needed to complete the job within the allotted time and minimum cost and provide algebraic model
Tomato growers in the Netherlands have a huge productivity advantage over their competitors in Italy and Greece. Although those countries are sun drenched while the Netherlands are anything but, computerized, climate-controlled greenhouses, and a "soil" spun from basalt and chalk that resembles cotton candy, allows for precise control of humidity and nutrition, and enables growers to produce their crops year around. Growers in Italy and Greece generally grow their crops outdoors or in unheated greenhouses, and can only manage two crops a year. Dutch growers are able to achieve yields that are about ten times per square yard of those of Italian and Greek growers. And the Dutch have a supply chain advantage: an integrated Dutch trading company works closely with supermarket chains in Europe and suppliers around the world, so farmers are able to sell their output in high volume, rather than locally the way many farmers in other countries do. That enables Dutch growers to more closely…
Is my solution correct and did I fully answer the questions? (see attachment for my solution) Question: There are three factories on Momiss River. Each emits two types of pollutants, labeled P1 and P2, into the river. If the waste from each factory is processed, the pollution in the river can be reduced. It costs $1,500 to process a ton of factory 1 waste, and each ton processed reduces the amount of P1 by 0.10 ton and the amount of P2 by 0.45 ton. It costs $2,500 to process a ton of factory 2 waste, and each ton processed reduces the amount of P1 by 0.20 ton and the amount of P2 by 0.25 ton. It costs $3,000 to process a ton of factory 3 waste, and each ton processed reduces the amount of P1 by 0.40 ton and the amount of P2 by 0.50 ton. The state wants to reduce the amount of P1 in the river by at least 125 tons and the amount of P2 by at least 175 tons. a. Use Solver to determine how to minimize the cost of reducing pollution by the desired amounts. Are the LP assumptions…
Calvin Butterball is chief of operations for the Fly-by-Night Aircraft Corp. He is responsible for the manufacturing of the company's two models of planes: The parrot and the eagle. Each department of the company has restrictions concerning the number of planes, which can be manufactures each day. No more than 7 eagles and no more than 11 parrots can be manufactured per day. No more than 12 total planes total can be shipped per day. The number of eagles manufactures must be no more than twice the number of parrots manufactured each day. You much use more than 1000 hours of labor per day; it takes 100 man-hours to manufacture each parrot and 200 man-hours to manufacture each eagle. Fly-by-Night makes a profit of $300 per parrot and $200 per eagle. How many eagles and how many parrots should e produced per day to give the greatest feasible profit and to determine the profit?
For a table manufacturing company, selling price for a table is $183.00 per Unit, Variable cost is $25.00 per Unit, rent is $3,380.00 per month and insurance is $296.00 per month. Company wants to expand its business and improve the table quality, it wants to increase the selling price for a table to $254.00 per Unit, Variable cost to $43.00 per Unit, bigger area will have rent $5,235.00 per month and insurance is $362.00 per month At what point will the company be indifferent between the current mode of operation and the new option?
A machine shop manufactures two types of bolts. The bolts require time on each of the three groups of machines, but the time required on each group differs, as shown in the table below. Type I Type IIMachine 1 0.2 min 0.2 minMachine 2 0.6 min 0.2 minMachine 3 0.04 min. 0.08 min Production schedules are made up one day at a time. In a day, 300, 720, and 100 minutes are available, respectively, on these machines. Type I bolts sell for 15¢ and type II bolts for 20¢. (a) How many of each type of bolt should be manufactured per day to maximize revenue?(b) What is the maximum revenue?(c) Suppose the selling price of type I bolts began to increase. Beyond what amount would this price have to increase before a different number of each type of bolts should be produced to maximize revenue?
ACE Hardware wants to develop a daily schedule for its employees in one of its stores in Omaha. Currently, this store has five employees and the store is opened from 12pm to 9pm. The store must always have at least two people on hand. Each employee must work at least four hours and no more than eight hours per day. Employee #1 goes to school and cannot start before 4pm while all other employees can work at any time. Furthermore, employee #1 earns $10 per hour while all other employees earn $12 per hour. Because all five employees live so close to the store, you must assume that they need to work consecutive hours. a) Formulate an optimization model for this problem. b) Solve the optimization model using either the Microsoft Excel Solver
Suppose a certain manufacturing company produces connecting rods for 4- and 6-cylinder automobile engines using the same production line. The cost required to set up the production line to produce the 4-cylinder connecting rods is $2,200, and the cost required to set up the production line for the 6-cylinder connecting rods is $3,300. Manufacturing costs are $12 for each 4-cylinder connecting rod and $16 for each 6-cylinder connecting rod. Hawkins makes a decision at the end of each week as to which product will be manufactured the following week. If a production changeover is necessary from one week to the next, the weekend is used to reconfigure the production line. Once the line has been set up, the weekly production capacities are 6,000 6-cylinder connecting rods and 8,000 4-cylinder connecting rods. Let x4 = the number of 4-cylinder connecting rods produced next week x6 = the number of 6-cylinder connecting rods produced next week s4 = 1 if the production line is set up to…
The state firefighters’ association has a membership of 15,000. The purpose of the organization is to provide some financial support to the families of deceased member firefighters and to organize a conference each year bringing together firefighters from all over the state. Annually, members are billed dues and calls. “Calls” are additional funds required to take care of payments made to the families of deceased members. The bookkeeping work for the association is handled by the elected treasurer, Bob Smith, although it is widely known that his wife, Laura, does all of the work. Bob runs unopposed each year at the election, since no one wants to take over the tedious and time consuming job of tracking memberships. Bob is paid a stipend of $8000 per year, but his wife spends well over 20 hours per week on the job. The organization, however, is not happy with their performance. A computer system is used to track the billing and receipt of funds. This system was developed in 1984 by a…

SEE MORE QUESTIONS

Recommended textbooks for you

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

SEE MORE TEXTBOOKS