The International Chef, Inc., markets three blends of oriental tea: premium, Duke Grey, and breakfast. The firm uses tea leaves from India, China, and new domestic California sources. Net profit per pound for each blend is $0.50 for premium, $0.25 for Duke Grey, and $0.40 for breakfast. The firm's regular weekly supplies are 21,000 pounds of Indian tea leaves, 23,000 pounds of Chinese tea leaves, and 17.000 pounds of Califomia tea leaves. Develop and solve a linear optimization model to determine the optimal mix to maximize profit. m Click here to view the tea blends data. Complete the table below to indicate the number of pounds of each type of tea leaf to produce to optimize the profit, and then give the total profit eamed. (Round to the nearest whole number as needed.) Premium Duke Grey Breakfast Pounds to Produce 32500 Total Profit= $

The International Chef, Inc., markets three blends of oriental tea: premium, Duke Grey, and breakfast. The firm uses tea leaves from India, China, and new domestic California sources. Net profit per pound for each blend is $0.50 for premium, $0.25 for Duke Grey, and $0.40 for breakfast. The firm's regular weekly supplies are 21,000 pounds of Indian tea leaves, 23,000 pounds of Chinese tea leaves, and 17.000 pounds of Califomia tea leaves. Develop and solve a linear optimization model to determine the optimal mix to maximize profit. m Click here to view the tea blends data. Complete the table below to indicate the number of pounds of each type of tea leaf to produce to optimize the profit, and then give the total profit eamed. (Round to the nearest whole number as needed.) Premium Duke Grey Breakfast Pounds to Produce 32500 Total Profit= $

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter11: Simulation Models

Section11.4: Marketing Models

Problem 30P: Seas Beginning sells clothing by mail order. An important question is when to strike a customer from...

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Seas Beginning sells clothing by mail order. An important question is when to strike a customer from the companys mailing list. At present, the company strikes a customer from its mailing list if a customer fails to order from six consecutive catalogs. The company wants to know whether striking a customer from its list after a customer fails to order from four consecutive catalogs results in a higher profit per customer. The following data are available: If a customer placed an order the last time she received a catalog, then there is a 20% chance she will order from the next catalog. If a customer last placed an order one catalog ago, there is a 16% chance she will order from the next catalog she receives. If a customer last placed an order two catalogs ago, there is a 12% chance she will order from the next catalog she receives. If a customer last placed an order three catalogs ago, there is an 8% chance she will order from the next catalog she receives. If a customer last placed an order four catalogs ago, there is a 4% chance she will order from the next catalog she receives. If a customer last placed an order five catalogs ago, there is a 2% chance she will order from the next catalog she receives. It costs 2 to send a catalog, and the average profit per order is 30. Assume a customer has just placed an order. To maximize expected profit per customer, would Seas Beginning make more money canceling such a customer after six nonorders or four nonorders?
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