Linear Programming Model
A manufacturing firm produces two products. Each product must undergo an assembly process and a finishing process. It is then transferred to the warehouse, which has space for only a limited number of items. The firm has 144 hours available for assembly and 240 hours for finishing, and it can store a maximum of 15 units in the warehouse. Each unit of product 1 has a profit of $75 and requires 12 hours to assemble and 6 hours to finish. Each unit of product 2 has a profit of $95 and requires 8 hours to assemble and 20 hours to finish. The firm wants to determine the quantity of each product to produce in order to maximize profit.
A. Formulate a linear programming model for this problem.
B. Solve this model by using grapchical analysis.