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Enpar Manufactures Engine Parts for an Automotive Manufacturer

question 51

Essay

Enpar manufactures engine parts for an automotive manufacturer. It operates two plants, A and B, which have the following production functions: QA = 30SA - .25SA2 and QB = 40SB - .5SB2, where QA and QB denote the outputs of engine parts from each plant and SA and SB denote the amounts of steel used in each plant. Suppose that total steel availability is 40 units. What is the optimal allocation of steel between the two plants?


Definitions:

Reasonable Apprehension

A legal standard referring to the fear or anticipation of harm that a person of ordinary sensibilities would feel under similar circumstances.

Assault

An intentional act by one person that creates an apprehension in another of an imminent, harmful, or offensive contact.

Assault

An act that threatens physical harm to a person, whether or not actual harm is done.

Battery

A legal term referring to the intentional and unpermitted contact with another person, causing harm or offense.

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