The Production Planner for a Private Label Soft Drink Maker

question 5

Multiple Choice

The production planner for a private label soft drink maker is planning the production of two soft drinks: root beer (R) and sassafras soda (S) .Two resources are constrained:
Production time (T) ,of which she has at most 12 hours per day; and carbonated water (W) ,of which she can get at most 1500 gallons per day.A case of root beer requires 2 minutes of time and 5 gallons of water to produce,while a case of sassafras soda requires 3 minutes of time and 5 gallons of water.Profits for the root beer are $6.00 per case,and profits for the sassafras soda are $4.00 per case.What is the production time constraint (in minutes) ?

• A) 2 R + 3 S ≤ 720
• B) 2 R + 5 S ≤ 720
• C) 3 R + 2 S ≤ 720
• D) 3 R + 5 S ≤ 720
• E) 5 R + 5 S ≤ 720

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Definitions:

Clean Air

Air that is free of pollutants and contaminants, considered essential for health and environmental quality.

Public Good

A good that is non-excludable and non-rivalrous, meaning it can be consumed by many people without diminishing its availability to others.

National Defense

The protection and defense of a country against foreign threats and aggression, typically through military means.

Marginal Cost

The cost of producing one additional unit of a good.