Taco Loco is considering a new addition to their menu. They have test marketed a number of possibilities and narrowed them down to three new products, X, Y, and Z. Each of these products is made from a different combination of beef, beans, and cheese, and each product has a price point. Taco Loco feels they can sell an X for $17, a Y for $13, and a Z for $14. The company's management science consultant formulates the following linear programming model for company management.
Max R = 14Z + 13Y + 17X
subject to:
Beef 2Z + 3Y + 4X ≤ 28
Cheese 9Z + 8Y + 11X ≤ 80
Beans 4Z + 4Y + 2X ≤ 68
X,Y,Z ≥ 0
The sensitivity report from the computer model reads as follows:
-What is the increase in revenue if Taco Loco purchases 20 pounds of cheese for $1 and uses it optimally?
A) $0
B) $9.09
C) $29.00
D) $158.18
Correct Answer:
Verified
Q85: Aunt Anastasia operates a small business:
Q86: Billy's Blues sells 3 types of T-shirts:
Q87: Taco Loco is considering a new
Q88: Billy's Blues sells 3 types of T-shirts:
Q89: Aunt Anastasia operates a small business:
Q90: Aunt Anastasia operates a small business:
Q91: Billy's Blues sells 3 types of T-shirts:
Q92: Aunt Anastasia operates a small business:
Q93: Aunt Anastasia operates a small business:
Q94: Aunt Anastasia operates a small business:
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents