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A2.1. AN EXAMPLE

Consider the planning and scheduling problem facing a manufacturer of microwave ovens with two models in its line—the standard and the deluxe. Each oven is assembled from component parts and subassemblies that are produced in the mechanical and electronics departments. The following table shows the number of production hours per oven required in each department and the capacities of the three production departments, in monthly hours.

The sales department believes that there will be demand for as many ovens as the company can produce. The accounting department has determined that the variable profit contributions are $50 for each standard and $40 for each deluxe. The problem is to determine a production plan to maximize monthly profit contribution.


  

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