Question

1. The Orange company is exploring the feasibility of producing two new products (a foldable tablet and a foldable smart phone) using three plants. The time required to produce and package these products on plants and the total available time on plants are given in the following table. Management has determined that at least 20% of the products made should be tablet and at least 30% should be smartphone. How many of each type of product should the company produce if it wants to maximize its revenue?(The price of Foldable Tablet and Foldable Smart Phone are 1500 and 1000 per unit)

Plant	Foldable Tablet	Foldable Smart Phone	Total hrs. available per week
1	1.5	2	1000
2	3	4.5	2000
3	2.5	1.5	1500

Answer 1

Table Smart Phone

selling price 1500 1000

Time Required 7HR 8HR

Contribution Per HR 1500/7 1000/8

215 125

We Should Produce Maximum Number of tables Because of Higher Per Hr. Contribution. But We Need to Produce At least 30% of Smart phone .

Maximum Quantity We Can Produce

Table Smart Phone

P1 1000/1.5 =666 1000/2 = 500

P2 2000/3 = 666 2000/4.5 = 444

P3 1500/2.5 = 600 1500/1.5 = 1000

Maximum QTY 600 444

As per question We need to Produce At least 30% of Smart Phone so we Produce 30% smart phone of total Production and rest we produce table for maximum profit