A machine is used to produce two interchangeable products. The daily capacity of the machine can produce at most 20 units of product 1 and 40 units of product 2. Alternatively, the machine can be adjusted to produce at most 45 units of product 1 and 25 units of product 2 daily, Market analysis shows that the maximum daily demand for the two products combined is 50 units. Given that unit profits for the two respective products are $10 and $12, which of the two machine settings, should be selected?

Question

17-06-2024
Business

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A machine is used to produce two interchangeable products. The daily capacity of the machine can produce at most 20 units of product 1 and 40 units of product 2. Alternatively, the machine can be adjusted to produce at most 45 units of product 1 and 25 units of product 2 daily, Market analysis shows that the maximum daily demand for the two products combined is 50 units. Given that unit profits for the two respective products are $10 and $12, which of the two machine settings, should be selected?

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