(a) What is the optimal solution, and what is the value of the objective function?E140xS110XD0✓.xprofit$19430(b) which constraints are binding? (Select all that apply.)fan motorscooling coilsmanufacturing time(c) Which constraint shows extra capacity?Ofan motorsO cooling coilsO manufacturing timeHow much extra capacity (in hr) is available?160xhr(d) If the profit for the deluxe model were increased to $145 per unit, would the optimal solution change? Use the information in the output to answer this question,The optimal solution would not✓change because the new profit is withinthe range of optimality Quality Air Conditioning manufactures three home air conditioners: an economy model, a standard model, and a deluxe model. The profits per unit are $63, $95, and $135, respectively. Theproduction requirements per unit are as follows:Number ofNumber ofFansManufacturingTime (hours)Cooling CollsEconomyA18Standard1212Deluxe1414For the coming production period, the company has 260 fan motors, 340 cooling colls, and 2,600 hours of manufacturing time available. How many economy models (6), standard models (S), anddeluxe models (D) should the company produce in order to maximize profit? The linear programming model for the problem is as follows:Max 63E+ 955 +1350s.t.Fan motors18+ 15 +LE+ 25 +85+ 125+10 26040 s 340140 s 2,600Cooling coilsManufacturing timeThe sensitivity report is shown below.Variable CellsFinal Value Reduced Cost Objective Coefficient Allowable Increase Allowable Decrease0.00063.00012.00015.500180.00080.0000.00095.00031.0008.0000.00024.000135.00024.0001E+30Final Value Shadow Price Constraint R.H. Side Allowable IncreaseAllowable Decrease260.00031.000260.00050.00090.00032.000340.00050.00080.000340.0002,400.0000.0002,600,00018+30200.000E,S, DONameEconomy ModelsStandard ModelsDeluxe ModelsModel VariableESDConstraintsConstraint Number123NameFan MotorsCooling CollsManufacturing Time

Answered: Image /qna-images/answer/f53c4e43-7f48-4c89-b914-dd29ec8f0151.jpg

Answered: Economy Standard Deluxe Number of Fans…

Business

Accounting

Economy Standard Deluxe Number of Fans Number of Cooling Colls Manufacturing Time (hours) 8 12 14

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 2CE

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Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenberg plans to sell 40,000 ceiling fans and 60,000 table fans in the coming year. Product price and cost information includes: Ceiling Fan Table Fan Price $54 $12 Unit variable cost $11 $9 Direct fixed cost $20,800 $41,000 Common fixed selling and administrative expenses total $84,000. Required: 1. What is the sales mix estimated for next year (calculated to the lowest whole number for each product)?Sales mix of ceiling fans to table fans = _______ : __________ 2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans. How many ceiling fans and table fans are sold at break-even? Round your intermediate calculations and final answers to the nearest whole number. Break-even ceiling fans ______ Break-even table fans _______ 3. Prepare a contribution-margin-based income statement for Vandenberg, Inc., based on the unit sales…
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