Answer:
Factory A should be operated 6.11 days
Factory B should be operated 6.88 days
The minimum cost for factory A is $6,110
The minimum cost for factory B is $5,504
Step-by-step explanation:
Factory A
Daily production: 16 3-speed and 20 10-speed bikes
Total daily production = 16+20 = 36 speed bikes
Order: 80 3-speed and 140 10-speed bikes
Total order = 80+140 = 220 speed bikes
Number of days = 220/36 = 6.11 days
Cost per day = $1,000
Minimum cost for 6.11 days = $1000 × 6.11 = $6,110
Factory B
Daily production: 12 3-speed and 20 10-speed bikes
Total daily production = 12+20 = 32 speed bikes
Total order = 220 speed bikes
Number of days = 220/36 = 6.88 days
Cost per day = $800
Cost for 6.88 days = $800 × 6.88 = $5,504
