A Company Is Developing a Linear Programming Model for Its

question 32

Multiple Choice

A company is developing a linear programming model for its aggregate production plan.If It = units in inventory at the end of period t,Pt = units produced in period t,and Dt = demand in period t,then the company's demand constraint to ensure that demand is met in quarter 2 is

• A)D2 = I2 - I1 + P2
• B)D2 = I1 + P2
• C)D2 = I2 + I1 + P2
• D)D2 = I1 + P2 - I2

Solve systems of linear equations graphically.

Solve real-world problems through setting up and solving systems of linear equations.

Understand the concept of the range in graphing equations and apply it in solving problems.

Translate real-world scenarios into mathematical equations to solve for unknown variables.

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Definitions:

MRP

Material Requirements Planning is a system for planning production schedules and inventory needs.

Marginal Revenue Product

The additional income generated from using one more unit of a resource, used in economics to determine the optimal level of resource employment.

Profit-maximizing

A business strategy aimed at achieving the highest possible profit through adjusting production levels, pricing, or other operational methods.

Marginal Revenue Product

The increased earnings resulting from the utilization of one more production factor unit.