Manufacturing A Computer

Name: Manufacturing a Computer Imagine that you have just inherited a small business from your Great Grandmother. The small business assembles and sells two kinds of computer: Model A and Model B (the cheaper version). Your business is capable of manufacturing a maximum of 360 computers in any given week. The following table shows all the relevant data concerning the employees at your company: Job Title

Number of people doing this job

Job description

Pay (per week)

Hours Worked (per week)

Assembler

100

The job involves putting together computers

$900

36

Inspector

4

This job involves testing and correcting any faults in the computers before they are sold

$1080

35

The next table shows all the relevant data concerning the manufacture of computers. Model A

Model B

Total assembly time in man-hours for each computer

12

6

Total inspection time in man-minutes for each computer

10

30

Component costs for each computer

$720

$576

Selling price for each computer

$1080

$792

At the moment, you are manufacturing and selling 100 of model A and 200 of Model B each week. • • •

What profit are you making at the moment? Can you improve this situation? Without changing your workforce, how many of each computer should you make to maximize your profit? ***Can you do better by changing your workforce (hiring or laying off workers as you see necessary)?

Focus Correction Area: • • • •

Correct solution to the first and second bullet. Complete mathematics to support your solution. Identification of the variables you used to solve the problem. Work and solution organized sequentially (so that it can be read start to finish rather than scattered over a page).