Stone Age Surfboards is a small manufacturer of two types of popular low-tide su
ID: 2929748 • Letter: S
Question
Stone Age Surfboards is a small manufacturer of two types of popular low-tide surfboards, the Graystone and the Lava models. The manufacturing process consists of two departments: fabrication and finishing. The fabrication department has 8 skilled workers, each of whom works 9.25 hours per day. The finishing department has 5 workers, each of whom works a 6-hour shift. Each pair of Graystone surfboards requires 2.5 labor-hours in the fabrication department and 2 labor-hours in finishing. The Lava model requires 4.2 labor-hours in the fabrication department and 3.6 labor-hours in finishing. The company operates 6 days a week. It makes a per-unit profit of $40 on the Graystone model and $60 on the Lava model. The company anticipates selling at least twice as many Lava models as Graystone models.
If the unit profit on Graystone surfboards is increased by $10, what is the Allowable Decrease for Lava surfboards?
A B C D 1 Stone Age Surfboards 2 3 Data 4 Product 5 Department Graystone Lava Limitation (hours) 6 Fabrication 2.5 4.2 74 7 Finishing 2 3.6 30 8 9 Profit/Unit $40 $60 10 11 12 Model 13 Graystone Lava 14 Quantity Produced Hours Used 15 Fabrication 16 Finishing 17 18 Excess Lava 19 Market Mixture 20 21 Total Profit 22 Profit ContributionExplanation / Answer
use solver in excel and formulate the problem with a table like this
maximise total profit
i.e 40*graystone units +60*lava units
subject to
lava units>= 2* graystone units
fabrication hrs <=74
finishing hrs <=30
The units of each model will then be
Total profit will be 500
To keep the profit at 500 while increasing the profit/unit of graystone as 50$ we have to decrease the profit/unit of lava.
Use goal seek to find the profit/unit of lava
use goal seek and set cell d16 to 500 by changing cell c15 and get the answer as 57.14
Graystone Lava Quantity Produced 2 7