A furniture company has two plants that produce the lumber used in manufacturing
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A furniture company has two plants that produce the lumber used in manufacturing

A furniture company has two plants that produce the lumber used in manufacturing tables and chairs. In 1 day of operation, plant A can produce the lumber required to manufacture 20 tables and 60 chairs, and plant B can produce the lumber required to manufacture 25 tables and 50 chairs. The company needs enough lumber to manufacture at least 200 tables and 500 chairs.

(A) If it costs $1,000 to operate plant A for 1 day and $900 to operate plant B for 1 day, how many days should each plant be operated to produce a sufficient amount of lumber at a minimum cost? What is the minimum cost?

(B) Discuss the effect on the operating schedule and the minimum cost if the daily cost of operating plant A is reduced to $600 and all other data in part (A) remain the same.

(C) Discuss the effect on the operating schedule and the minimum cost if the daily cost of operating plant B is reduced to $800 and all other data in part (A) remain the same.

Hint
Accounts & FinanceOperating schedule: This is the statement of the steps the applicant proposes to take to promote the objectives of the licensing. One needs to satisfy the responsible authorities and any other interested parties, which would run the premises responsibly and in accordance with the licensing objectives....

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