The Operations Manager for the Blue Moon Brewing Co

question 62

Multiple Choice

The operations manager for the Blue Moon Brewing Co.produces two beers: Lite (L) and Dark (D) .Two of his resources are constrained:
Production time,which is limited to 8 hours (480 minutes) per day; and malt extract (one of his ingredients) ,of which he can get only 675 gallons each day.To produce a keg of Lite beer requires 2 minutes of time and 5 gallons of malt extract,while each keg of Dark beer needs 4 minutes of time and 3 gallons of malt extract.Profits for Lite beer are $3.00 per keg,and profits for Dark beer are $2.00 per keg.For the production combination of 135 Lite and 0 Dark,which resource is "slack" (not fully used) ?

• A) Time (only)
• B) Malt extract (only)
• C) Both time and malt extract
• D) Neither time nor malt extract
• E) Cannot be determined exactly

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Definitions:

Average Time

The mean duration of a set of time intervals.

Queue

A sequence of items or people waiting in line to be processed or serviced, often managed on a first-come, first-served basis.

Customer

A person or organization that buys products or services from a company.

Continuous Variables

Variables that can take on an infinite number of values within a given range.