ABC Products Inc Only One Operator Per Machine Is Required on Machines #1

question 26

Essay

ABC Products Inc. produces three products (A, B, and C) on three machines. Machines 1 and 2 are available for 40 hours a week, and Machine 3 is available for 60 hours a week. Profit contribution and standard production time in hours are given in the following table:
$\begin{array}{llll}&&\text { Product }\\&A&B&C\\\text { Profit Contribution/Unit } & \$ 40 & \$ 60 & \$ 30 \\\text { Machine \#1 (time/unit) } & 0.6 & 2.2 & 1.8 \\\text { Machine \#2 (time/unit) } & 1.2 & 0.8 & 0.7 \\\text { Machine \#3 (time/unit) } & 2.4 & 2.8 & 2.0\end{array}$ Only one operator per machine is required on Machines #1 and #2. Two operators are required for Machine #3. Therefore, two hours of labor must be scheduled for each hour of Machine #3's time. To restate this requirement, two operators must be scheduled for each hour of Machine #3's operation, as well as one operator for each hour of Machine #1's operation and one operator for each hour of Machine #2's operation. A total of 110 labor hours is available for assignment to the three machines during the coming week. Other production requirements are that Product A cannot account for more than 40% of the units produced and that Product C must account for at least 25% of the units produced.
a. Develop the constraint for the capacity limit of Machine #1.
b. Develop the constraint for the capacity limit of Machine #3.
c. Develop the constraint for the labor capacity limit.
d. Develop the constraint for limiting Product A to no more than 40% of the units produced.
e. Develop the constraint that ensures Product C accounts for at least 25% of the units produced.

Understand how viscosity affects the behavior of magma and volcanic gases.

Know the major controlling factors on volcanic eruption style.

Describe the features and formation of lava tubes.

Understand the relationship between magma composition and volcano characteristics.

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Definitions:

Debt-to-Equity Ratios

A financial ratio indicating the relative proportion of shareholders' equity and debt used to finance a company's assets.

Capital Structures

The particular combination of debt and equity used by firms to finance their overall operations and growth.

Recapitalization

The process of restructuring a company's capital structure by exchanging one form of financing for another, such as debt for equity.

Cost of Equity

The return that investors expect for investing in a company's equity, reflecting the risk compared to risk-free assets.