Business, 26.09.2019 16:30 enriqueliz1680
The white horse apple products company purchases apples from local growers and makes applesauce, apple jelly and apple juice. it costs 60¢to produce a jar of applesauce, 70¢to produce a jar of apple jellyand 85¢to produce a bottle of apple juice. the company has a policy that at least 20% but no more than60% of its output must be applesauce. the company wants to meet but not exceed the demand for each product. the marketing managerestimates that the demand for applesauce is 5,000 jars plus an additional 3 jars for every $1 spent onadvertising. the demand for apple jelly is estimated to be 4,500 jars plus an additional 4 jars for every$1 spent on advertising apple jelly. the demand for apple juice is estimated to be 4,000 bottles plus anadditional 5 bottles for every $1 spent on promoting apple juice. the company has a budget of $26,000to spend on producing and advertising applesauce, apple jelly and apple juice. applesauce sells for $1.45per jar, apple jelly sells for $1.55 per jar and apple juice sells for $1.75 per bottle. the company wants tomaximize its profit. a.[6 points]formulate alinear programming modelfor this problem. your model must bealgebraic. b.[6 points]solve the problem using gams.
Answers: 2
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The white horse apple products company purchases apples from local growers and makes applesauce, app...
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