Exhibit 3-1
a Winemaker in California's Napa Valley Must Decide

question 5

Essay

Exhibit 3-1
A winemaker in California's Napa Valley must decide how much of two types of wine she will produce from a particular variety of grapes. Each liter of table wine yields $8 profit, while each liter of dessert wine produces $3 profit. The labor hours and bottling process time used for type of wine are given in the table below. Resources available include 200 labor hours and 80 hours of bottling process time. Assume the winemaker has more than enough grapes available to supply any feasible production plan.
$$\begin{array} { | l l l | } \hline & \text { Table } & \text { Dessert } \\\hline \text { Labor (Hours) } & 0.20 & 0.60 \\\text { Process Time (Hours) } & 0.30 & 0.10 \\\hline\end{array}$$ ​
-[Part 4] Refer to Exhibit 3-1.Obtain a sensitivity report for the model in Part 1.How much should the winemaker be willing to pay for an additional labor hour

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Definitions:

Long-Term Trend Component

A pattern in time-series data that captures persistent, gradual changes over long periods.

Time Series

A sequence of data points collected or recorded at successive points in time, often analyzed to identify trends or patterns.

Overall Tendency

A measure used to summarize or describe the central point of a data set, often represented by the mean, median, or mode.

Centered Moving Averages

A method applied in analyzing time series to minimize short-term variations and emphasize longer-term trends or cycles.