A company produces product A and product B.These products have the following resource requirements. The firm has a weekly production budget of $5000 and a maximum of 800 hours of labor per week.Each A produced generates $45.00 in profit for the company.Each B produced generates $35.00 in profit for the company.The objective function for this company is represented by
A)Min 4A + 5B.
B)Max 8A + 6B.
C)Min 45A + 35B.
D)Max 45A + 35B.

Question

A company produces product A and product B.These products have the following resource requirements.  The firm has a weekly production budget of $5000 and a maximum of 800 hours of labor per week.Each A produced generates $45.00 in profit for the company.Each B produced generates $35.00 in profit for the company.The objective function for this company is represented by
A)Min 4A + 5B. 
B)Max 8A + 6B. 
C)Min 45A + 35B. 
D)Max 45A + 35B.

Quizplus · Accepted Answer

The objective function for this company is to maximize the profit, which would be represented by the equation Profit = 45A + 35B. Therefore, the best choice is option D, which represents this objective function.

A Company Produces Product a and Product B