Soundex Produces Two Models of Clock Radios

question 174

Multiple Choice

Soundex produces two models of clock radios. Model A requires 15 min of work on assembly line I and 10 min of work on assembly line II. Model B requires 12 min of work on assembly line I and 20 min of work on assembly line II. At most 21 hr of assembly time on line I and 19 hr of assembly time on line II are available each day. Soundex anticipates a profit of $12 on model A and $10 on model B. Because of previous overproduction, management decides to limit the production of model A clock radios to no more than 80/day. ​
Find the range of values that the resource associated with the time constraint on machine I can assume. Find the shadow price for the resource associated with the time constraint on machine I. Round your answer to the nearest cent.
​

• A) Range: shadow price: $1.02
• B) Range: shadow price: $0.78
• C) Range: shadow price: $1.02

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Individuals or groups involved in forming, joining, or promoting labor unions to advocate for workers' rights and interests.

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