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12.02.2020 •
Mathematics
Par, Inc. decided to launch two new golf bags: standard and deluxe bags. The company will start producing the bags this month and its distributor agrees to buy all the produced bags by the end of this month. The company determines that each golf bag produced will require machine-hours in three departments: cutting, sewing and finishing. Each standard bag will require 1.5 hours in the cutting department, 2 hours in the sewing department and 1 hour in the finishing department. Each deluxe bag will require 3 hours in the cutting department, 4 hours in the sewing department and 1.5 hours in the finishing department. Par's production is constrained by a limited number of hours available in each department. The company has 500 hours, 600 hours and 700 hours, respectively, available per month in the cutting, sewing and finishing departments. Each standard bag will generate $50 of revenue and each deluxe bag will generate $100 of revenue. Also, the company promises the distributor to deliver at least 100 bags in total by the end of the month. The company wants to determine how many standard and deluxe bags to produce to maximize its monthly revenue. Please formulate a LP by (1) clearly defining the decision variables, (2) expressing the objective in terms of the decision variables and (3) mathematically expressing all of the constraints. You do NOT need to solve this problem. (Hint: it will be helpful to start by drawing an information table to summarize information) (1) Decision variables (2) Objective (3) Constraints
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