A small machine shop produces steel shafts and metal plates. The production process depends on labor, milling machine hours, and lathe machine hours. The firm tries to identify how many metal shafts and plates should be produced per week in order to maximize profit. Which, among the following, are the decision variables?
A) Profit contributions of shafts and plates
B) Maximum weekly labor hours available
C) Milling and lathe machine hours available per week
D) Quantities of shafts and plates produced per week
E) The total profit earned by the shop

Question

Quizplus · Accepted Answer

The quantities of shafts and plates that can be produced per week are the decision variables that the shop can control in order to maximize profit. The other options listed are constraints or parameters that the shop must take into consideration when making their decision.

A Small Machine Shop Produces Steel Shafts and Metal Plates