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:
-The optimal quantity of the three products and resulting revenue for Taco Loco is:
A) 28 beef, 80 cheese, and 39.27 beans for $147.27
B) 10.22 beef, 5.33 cheese, and 28.73 beans for $147.27
C) 1.45 Z, 8.36 Y, and 0 Z for $129.09
D) 14 Z, 13 Y, and 17 X for $9.81
Correct Answer:
Verified
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