Question;Problem 7-14;Graphical Solution:The Electorcomp;Corporation manufactures two electrical products: air conditioners and large fans.;The assembly process for each is similar in that both require a certain amount;of wiring and drilling, Each air conditioner takes 3 hours of wiring and 2;hours of drilling, Each fan must go through 2 hours of wiring and 1 hour of;drilling, During the next production period, 240 hours of wiring time are;available and up to 140 hours of drilling time may be used. Each air;conditioner sold yields a profit or $25. Each fan assembled may be sold for a;$10 profit. Formulate and solve this LP production mix situation to find the;best combination of air conditioners and fans that yields the highest profit.;Use the corner point graphical approach.;Problem 7-17;The Outdoor Furniture Corporation;manufactures two products, benches and picnic tables, for use in yards and;parks. The firm has two main resources: its carpenters (labor force) and supply;of redwood for use in the furniture.During the next production cycle, 1,200;hours of labor are available under a union agreement. The firm also has a stock;of 3,500 feet of good-quality redwood. Each bench that Outdoor Furniture;produces requires 4 labor hours and 10 feet of redwood, each picnic table takes;6 labor hours and 35 feet of redwood. Completed benches will yield a profit of;$9 each. And tables will result in a profit of $20 each. How many benches and;tables should Outdoor Furniture produce to obtain the largest possible profit?;Use the graphical LP approach.;7-20 A winner of the Texas Lotto has decided to;invest $50,000 per year in the stock market. Under consideration are stocks for;a petrochemical firm and a public utility. Although a long-range goal is to get;the highest possible return, some consideration is given to the risk involved;with the stocks. A risk index on a scale of 1?10 (with 10 being the most risky);is assigned to each of the two stocks. The total risk of the portfolio is found;by multiplying the risk of each stock by the dollars invested in that stock.;The following table provides a summary of the return and risk;Stock;Estimated;Return;Risk;Index;Petrochemical;12%;9;Utility;6%;4;The investor would like to maximize the return on the;investment, but the average risk index of the investment should not be higher;than 6. How much should be invested in each stock? What is the average risk for;this investment? What is the estimated return for this investment?;Let X1 = the;number of dollars invested in petrochemical stocks;X2 = the;number of dollars invested in utility stocks;7-24 The stock brokerage firm of Blank, Leibowitz, and Weinberger;has analyzed and recommended two stocks to an investors? club of college;professors. The professors were interested in factors such as short term;growth, intermediate growth, and dividend rates. These data on each stock are;as follows;Stock;Factor;Louisiana;Gas and Power;Trimex Insulation Company;Short term growth potential, per dollar invested;.36;.24;Intermediate growth potential (over next three years), per;dollar invested;1.67;1.5;Dividend rate potential;4%;8%;Each member of the club has an investment goal of (1) an;appreciation of no less than $720 in the short term, (2) an appreciation of at;least $5,000 in the next three years, and (3) a dividend income of at least;$200 per year. What is the smallest investment that a professor can make to;meet these three goals?
Paper#61357 | Written in 18-Jul-2015Price : $31