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The Tubular Ride Boogie Board Company Has Manufacturing Plants in Tucson

Question 40

Short Answer

The Tubular Ride Boogie Board Company has manufacturing plants in Tucson, AZ and Toronto, Ontario. You have been given the job of coordinating distribution of the latest model, the Gladiator, to outlets in Honolulu and Venice Beach. The Tucson plant, when operating at full capacity, can manufacture 620 Gladiator boards per week, while the Toronto plant, beset by labor disputes, can produce only 410 boards per week. The outlet in Honolulu orders 540 Gladiator boards per week, while Venice Beach orders 490 boards per week. Transportation costs are as follows:
Tucson to Honolulu: $10 per board; Tucson to Venice Beach: $5 per board;
Toronto to Honolulu: $20 per board; Toronto to Venice Beach: $10 per board.
a. If Tubular Ride Boogie Board Company has a transportation budget of $10,750 and is willing to assure full capacity production at both plants, how many Gladiator boards should be shipped from each manufacturing plant to each distribution outlet
Tucson to Honolulu
__________
Tucson to Venice Beach
__________
Toronto to Honolulu
__________
Toronto to Venice Beach
__________

b. How many Gladiator boards should be shipped from each manufacturing plant to each distribution outlet to assure full capacity production at both plants for less money
Tucson to Honolulu
__________
Tucson to Venice Beach
__________
Toronto to Honolulu
__________
Toronto to Venice Beach
__________

Correct Answer:

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370; 250; ...

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