MSA Computer Corporation manufactures twomodels of minicomputers, the Alpha 4 an
ID: 2444379 • Letter: M
Question
MSA Computer Corporation manufactures twomodels of minicomputers, the Alpha 4 and the Beta 5. The firmemploys 5 technicians, working 160 hours each per month, on itsassembly line. Management insists that full employment (thatis, all 160 hours of time) be maintained for each workerduring next month’s operations. It requires 20 labor-hours toassemble each Alpha 4 computer and 25 labor-hours to assemble eachBeta 5 model. MSA wants to see at least 10 Alpha 4s and at least 15Beta 5s produced during the production period. Alpha 4s generate a$800 profit per unit, and Betas yield $1,800 each.
Determine the most profitable number ofAlpha-4 model of minicomputer to produce during the comingmonth.
Round your answer to 2 decimal places; forexample, 12.34 .
Determine the most profitable number ofBeta-5 model of minicomputer to produce during the comingmonth.
Round your answer to 2 decimal places; forexample, 12.34 .
What is the optimal profit?
Round your answer to the nearest wholenumber; for example, 12,345 .
MSA Computer Corporation manufactures twomodels of minicomputers, the Alpha 4 and the Beta 5. The firmemploys 5 technicians, working 160 hours each per month, on itsassembly line. Management insists that full employment (thatis, all 160 hours of time) be maintained for each workerduring next month’s operations. It requires 20 labor-hours toassemble each Alpha 4 computer and 25 labor-hours to assemble eachBeta 5 model. MSA wants to see at least 10 Alpha 4s and at least 15Beta 5s produced during the production period. Alpha 4s generate a$800 profit per unit, and Betas yield $1,800 each.
(a) Determine the most profitable number ofAlpha-4 model of minicomputer to produce during the comingmonth.
Round your answer to 2 decimal places; forexample, 12.34 .
(b) Determine the most profitable number ofBeta-5 model of minicomputer to produce during the comingmonth.
Round your answer to 2 decimal places; forexample, 12.34 .
(c)What is the optimal profit?
Round your answer to the nearest wholenumber; for example, 12,345 .
Explanation / Answer
Answer A) 10 Alpha-4model computers Answer B) 24 Beta-5 modelcomputers Answer C) $ 51,200 ( Optimal profit) Explanation Total labor hours available = 160 * 5 = 800 hrs Out of the 800 hrs , 200 hrs are used for alpha-4 model ( 20hrs perpiece * 10 units = 200 hrs) Hours remaining for Beta 5 model is 800 -200 = 600 hrs. No. of beta-5 produced in 600 hrs = 600/ 25 = 24 beta models. 800 X1 + 1800 X2 = maximizing profit 800(10) +1,800(24) = 51,200
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