A Very Confused Manager Is Reading a Two-Page Report Given

question 23

Essay

A very confused manager is reading a two-page report given to him by his student intern. "She told me that she had my problem solved, gave me this, and then said she was off to her production management course," he whined. "I gave her my best estimates of my on-hand inventories and requirements to produce, but what if my numbers are slightly off? I recognize the names of our four models W, X, Y, and Z, but that's about it. Can you figure out what I'm supposed to do and why?" You take the report from his hands and note that it is the answer report and the sensitivity report from Excel's solver routine.
Explain each of the highlighted cells in layman's terms and tell the manager what they mean in relation to his problem.

---

Definitions:

Federal Funds

Reserve balances that commercial banks hold at the Federal Reserve, often lent overnight to meet reserve requirements.

Legal Drinking Age

The minimum age established by law at which an individual is allowed to consume alcoholic beverages.

South Dakota v. Dole

A notable United States Supreme Court case concerning federal power and state sovereignty, particularly in the context of conditional federal grants.

Christy Brzonkala v. Antonio J. Morrison

A legal case that tested the boundaries of Congress's power under the Commerce Clause and the Fourteenth Amendment related to gender-motivated violence.