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RUGS Corporation produces three types of rugs

The RUGS Corporation produces three types of rugs, which it sells to large carpet stores. The production of each rug requires two machine operations, weaving and binding, followed by assembly, which includes inspection and packaging. All three rug types require 0.4 hour of assembly time, but the machining operations have different processing times as, shown here, in hours per unit:

Rectangle Runner Oval
Weaver 0.2 0.4 0.6
Binder 0.6 0.2 0.5

Each machine is available 150 hours per month, and the current size of the assembly department provides capacity of 600 hours. Each rug produced yields a unit of profit contribution as follows:

Rectangle Runner Oval
Profit $80 $60 $100

What are the optimal (maximum profit) production quantities for the company?

Solve the problem, in your answer include:
? What is the goal of the problem?
? The type/s of model/s you would choose to solve the problem and why you would use the model/s.
? The actual working spreadsheet model which solved the problem.
? What information the solution provides you.

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Problem 1

The RUGS Corporation produces three types of rugs, which it sells to large carpet stores. The production of each rug requires two machine operations, weaving and binding, followed by assembly, which includes inspection and packaging. All three rug types require 0.4 hour of assembly time, but the machining operations have different processing times as, shown here, in hours per unit:

Rectangle Runner Oval
Weaver 0.2 0.4 0.6
Binder 0.6 0.2 0.5

Each machine is available 150 hours per month, and the current size of the assembly department provides ...

Solution Summary

RUGS Corporation producing three types of rugs are examined.

$2.19