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A Manufacturer Makes Two Products,doors and Windows

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Essay

A manufacturer makes two products,doors and windows.Each must be processed through two work areas.Work area #1 has 60 hours of available production time per week.Work area #2 has 48 hours of available production time per week.Manufacturing of a door requires 4 hours in work area #1 and 2 hours in work area #2.Manufacturing of a window requires 2 hours in work area #1 and 4 hours in work area #2.Profit is $8 per door and $6 per window.
a.​
Define decision variables that will tell how many units to build (doors and windows)per week.
b.Develop an objective function that will maximize total profit per week.
c.Develop production constraints for work area #1 and #2.


Definitions:

Selling Price

Selling Price is the amount a buyer pays to purchase an item or service from a seller.

Predetermined Overhead Rate

An estimated charge used to apply manufacturing overhead to individual products or job orders, calculated in advance of the period.

Machine-Hours

A measure of the total run time that a machine is utilized for production over a specific period, often used as a basis for allocating overhead costs.

Direct Labor-Hours

A measure of the total hours worked by employees who are directly involved in the manufacturing process or production of goods.

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