XYZ Manufactures Four Types of Plywood Panels

question 68

Multiple Choice

XYZ manufactures four types of plywood panels.Each product must go through the following operations: patching,grading,gluing,and baking.The time requirements for each panel,the capacity available,the minimum production requirements,and the profit contributions per panel are tabled here.Identify the objective function.Let x1 = Number of soft panels to be made,x2 = Number of hardwood panels to be made,x3 = Number of tropical panel to be made,and x4 = Number of aircraft panels to be made.

• A)Maximize profits = 8X₁ + 12X₂ + 18X₃ + 30X₄
• B)Maximize profits = 7X₁ + 10X₂ + 15X₃ + 20X₄
• C)Minimize costs = 8X₁ + 12X₂ + 18X₃ + 30X₄
• D)Minimize costs = 7X1 + 10X2 + 15X3 + 20X4

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Definitions:

Depreciation Expense

The portion of the cost of a fixed asset that is systematically allocated as an expense to each period that the asset is used and generates revenue.

Equipment Purchases

Expenditures made by a company to acquire or upgrade physical assets such as machinery, vehicles, or office equipment.

IFRS

International Financial Reporting Standards are a set of accounting guidelines created by the International Accounting Standards Board that govern how transactions and other accounting events should be reported in financial statements.

Dividends Paid

Cash or stock distributed to shareholders out of a company's earnings.