CDF Appliances has assembly plants in Atlanta and Fort Worth where they produce a variety of kitchen appliances, including a 12-cup coffee maker and a cappuccino machine. In each hour at the Atlanta plant, 160 of the 12-cup models and 200 of the cappuccino machines can be assembled and the hourly cost is $780. In each hour at the Fort Worth plant, 800 of the 12-cup models and 200 of the cappuccino machines can be assembled and the hourly cost is $2,120. CDF Appliances expects orders each week for at least 64,000 of the 12-cup models and at least 40,000 of the cappuccino machines. How many hours per week should each plant be operated in order to provide inventory for the orders at minimum cost? Find the minimum cost.
A) Minimum of $141,600 per week when Atlanta plant is operated for 100 hours and the Fort Worth plant is operated for 30 hours.
B) Minimum of $178,400 per week when Atlanta plant is operated for 120 hours and the Fort Worth plant is operated for 40 hours.
C) Minimum of $376,500 per week when Atlanta plant is operated for 75 hours and the Fort Worth plant is operated for 150 hours.
D) Minimum of $343,000 per week when Atlanta plant is operated for 100 hours and the Fort Worth plant is operated for 125 hours.
E) Minimum of $223,000 per week when Atlanta plant is operated for 150 hours and the Fort Worth plant is operated for 50 hours.
Correct Answer:
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