A company makes three types of candy and packages them in three assortments. Ass

Question

A company makes three types of candy and packages them in three assortments. Assortment I contains 4 sour 4 lemon?, and 12 lime ?candies, and sells for 9.40. Assortment II contains 12 sour?, 4 lemon?, and 4 lime candies, and sells for 7.60.Assortment III contains 8 sour?, 8 lemon?, and 8 lime candies, and sells for $11.00. Manufacturing costs per piece of candy are 0.20 for sour?, 0.25 for lemon?, and $0.30 for lime. They can make 5,200 sour 3,800 lemon?, and 6,000 lime candies weekly. How many boxes of each type should the company produce each week in order to maximize its? profit? What is the maximum? profit?

Explanation / Answer

Variables

a, b, c are variables for Assortment I, II and III

objective

maximize profit

solution

Maximum profit = 3400

Assortment I: 100

Assortment II: 0

Assortment III: 600

per candy Cost Total candy Optimal Sour lemon Lime Sour lemon Lime revenue Sour lemon Lime cost Revenue profit Assortment I 100 4 4 12 0.2 0.25 0.3 9.4 400 400 1200 540 940 400 Assortment II 0 12 4 4 0.2 0.25 0.3 7.6 0 0 0 0 0 0 Assortment III 600 8 8 8 0.2 0.25 0.3 11 4800 4800 4800 3600 6600 3000 Total 5200 5200 6000 3400 Max possible 5200 3800 6000 Constraint check 0 0 0

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