Stone Age Surfboards Is a Small Manufacturer of Two Types

question 34

Multiple Choice

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 works9.25 hours per day. The finishing department has 5 workers, each of whom works a 6-hour shift per day. 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 fabrication 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.
Use the spreadsheet below for Stone Age Surfboards to answer the following question(s) using integer constraints on variables in the optimization models using the standard Solver. $\begin{array}{|l|l|l|l|l|}\hline & \text { A } & \text { B } & \text { C } & \text { D } \\\hline 1 & \text { Stone Age Surfboards } & & & \\\hline 2 & & & & \\\hline 3 & \text { Data } & & & \\\hline 4 & & &{\text { Product }} & \\\hline 5 & \text { Department } & \text { Graystone } & \text { Lava } & \text { Limitations (hours) } \\\hline 6 & \text { Fabrication } & 2.5 & 4.2 & 74 \\\hline 7 & \text { Finishing } & 2 & 3.6 & 30 \\\hline 8 & & & \\\hline 9 & \text { Profit/Unit } & \$ 40.00 & \$ 60.00 \\\hline 10 & & & \\\hline 11 & & & \\\hline 12 & \text { Model } & & \\\hline 13 & & \text { Graystone } & \text { Lava } & \\\hline 14 & \text { Quantity Produced } & & & \text { Hours Used } \\\hline 15 & \text { Fabrication } & & & \\\hline 16 & \text { Finishing } & & & \\\hline 17 & & & & \\\hline 18 & & & & \text { Excess Lava } \\\hline 19 & \text { Market Mixture } & & & \\\hline 20 & & & & \\\hline 21 & && & \text { Total Profit } \\\hline 22 & \text { Profit Contribution } & & & \\\hline\end{array}$
-What is the total profit generated?

• A) $ 748.28
• B) $ 687.46
• C) $ 385.65
• D) $ 500.00

---

Definitions:

Borrowing

The act of obtaining funds from another party with the promise to repay the principal amount along with interest or dividends.

Economic Growth

An increase in the production of goods and services in an economy over a period, often measured as the percent rate of increase in real GDP.

OECD

An international organization (Organisation for Economic Co-operation and Development) that promotes policies to improve the economic and social well-being of people around the world.