Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $1,900 of dir
1 answer:
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Answer:
Have an expansionary monetary policy (shift LM curve to the right)
Explanation:
See the graph attached. If the IS curve shifts to the left, there will be a new IS curve- The IS'. If the Fed wants to keep the output level (Y) unchanged, then it has to shift the LM curve to the right, to LM', so that the Y point (output level) in which the IS matches the LM stays the same (Y*).
Shifting the LM curve to the right, it means to have an expansionary monetary policy, which means to expand the quantity of money in the economy. This is done, for example, by decreasing the discount rate or reducing the reserve ratio.
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)