A company is able to produce four products and is planning itsproduction mix for the next period.
Estimated cost, sales, and production data follow:
Product W X Y Z
? ? ? ?
SellingPrice/unit 29 36 61 51
Labour (@ ?5/hr) 15 10 35 25
Material (@ ?1/kg) 6 18 10 12
Contribution ?8 ?8 ?16 ?14
Resources/Unit ? ? ? ?
Labour(hours) 3 2 7 5
Materials(Kgs.) 6 18 10 12
Maximum Demand(Units) 5000 5000 5000 5000
Based on the above data, which is the most appropriate mix underthe two following assumptions?
If labour hours are limited to 50,000 in a period or
If material is limited to 110,000 kgs in a period
