[Step-by-Step] Galaxy II makes two popular strollers, LightGo and Smoothride. LightGo can be easily carried and Smoothride is heavier with large wheels. The
Question: Galaxy II makes two popular strollers, LightGo and Smoothride. LightGo can be easily carried and Smoothride is heavier with large wheels. The company has been successful at selling both products for the last two years and wants to revisit its weekly production plan in light of the recent turbulence on the raw materials input market. The company estimates that a LightGo stroller will make $15 in profit and a Smoothride will make $40 in profit. For the next week, there are outstanding orders of 100 LightGo and 100 Smoothride that must be made to keep its most valuable customers happy. The inventory records of the company show that there will be 4,800 yards of steel bar available to be cut and used to assemble the frame of both strollers and there will be a total of 1,200 man hours for making both strollers. The company believes that it has plenty of other less critical resources for next week’s production. Each LightGo uses 6 yards of steel bar and 1 man hour to make and each Smoothride needs 8 yards of steel bar and 4 man hours to make. The company is looking to use an optimization model to determine its profit-maximizing plan for the next week.
- Write down a concise verbal model that articulates the objective, decisions, and constraints facing Galaxy II
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Spell out the decision variables involved
X 1 : Amount of LightGo Strollers
X 2 : Amount of Smoothride Strollers - Use the decision variables define in part b) to formulate a mathematical representation of Galaxy II’s production planning problem
Objective: Maximize Profit =
Subject to constraints:
Constraint 1:
Constraint 2:
Constraint 3:
Constraint 4:
Constraint 5:
Deliverable: Word Document 