Architects must consider the availability and cost of ________ when they plan their projects.
1 answer:
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Answer:
(i)The units of production of Product A and B (x and y) are the decision variables
(ii)Objective is to maximize profit
(iii)Objective function, Max P=20x+50y
(iv)The Contraints are:
8x+2y500....(i)
2x+5y400.......(ii)
3y180
x>0, y>0
Explanation:
Let the number of Product A=x
Let the number of Product B=y
Each unit of product A requires 8 units of R1 and 4 units of R2.
Each unit of product B requires 2 units of R1, 5 units of R2, and 3 units of R3
The availabilities of resources R1, R2, and R3 are 500, 400, and 180
Since R1 500,
Product A requires 8 units of R1 per production unit
Product B requires 2 units of R1 per production unit
Total Unit of R1 possible is given by the inequality: 8x+2y500....(i)
Since R2 400,
Product A requires 2 units of R2 per production unit
Product B requires 5 units of R2 per production unit
Total Unit of R2 possible is given by the inequality: 2x+5y400....(ii)
Since R3 180,
Product B requires 3 units of R2 per production unit
Total Unit of R2 possible is given by the inequality: 3y180....(iii)
Since the manufacturer also makes a profit of $20 and $50 for products A and B, our objective is to maximize profit
Therefore: Objective function, Max P=20x+50y ......(iv)
Answer:
Given:
Cost of Redesigning a form to reduce errors = $15,000
Cost of Responding to customer complaints = $75,000
Cost of Verifying the accuracy of a form = $30,000
Cost of Correcting errors in forms = $60,000
Sales = $3,000,000
<u><em>Prevention costs is defined as the costs that incur to obviate or decrease the number of flaw at first places. is defined as the costs that incur to obviate or decrease the number of flaw at first places. </em></u>
Here Prevention cost is computed as :
Prevention cost = Cost of Redesigning a form to reduce errors + Cost of Responding to customer complaints + Cost of Correcting errors in forms
Prevention cost = $15,000 + $75,000 + $60,000
Prevention cost = $ 150,000
∴ Prevention cost to total sales ratio =
Prevention cost to total sales ratio =
<u><em>Prevention cost to total sales ratio = 0.05</em></u>
<u><em>% Prevention cost to total sales = 5%</em></u>