Explore BrainMass

Profit Maximization: Soft Drinks

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

The production manager for the Softy soft drink company is considering the production of 2 kinds of soft drinks: regular and diet. Two of her resources are production time (8 hours = 480 minutes per day) and syrup (1 of the ingredients) limited to 675 gallons per day. To produce a regular case requires 2 minutes and 5 gallons of syrup, while a diet case needs 4 minutes and 3 gallons of syrup. Profits for regular soft drink are \$3.00 per case and profits for a diet soft drink are \$2.00 per case. What are the optimal production quantities for each type of soft drink? What is the optimal daily profit?

Solution:

x y Slack
Maximize 3 2
90.00 ...

Solution Summary

This solution is comprised of a concise response illustrating how to solve for a 2 variable profit maximization problem. All calculations are presented in a chart format.

\$2.19