Introduction:
This activity requires you to use linear programming to model the constraints Adam has for his shop and to make recommendations so that he can maximise his income in the current year and in future years. You will present your findings as a written report, supported by graphs, equations and relevant calculations.
The quality of your reasoning and how well you link this to the context will determine the overall grade.
Task:
Adam owns a shop and sells bubble gum and lollies. Use the information below to write a report for Adam making recommendations as to how many boxes of each type he should sell.
Information:
- Bubble gum require 2 hours of labour per box sold and lollies require 4 hours of labour per box sold.
- Bubble gum require 274 m2 of storage space per box sold and lollies require 137 m2 of storage space per box sold.
- Adam has a maximum of 352 hours of labour and 37538 m2 of storage space.
- Adam must sell at least 8 boxes of lollies and at least 6 boxes of bubble gum.
- For the current year, he expects to receive $1490 per box sold for his lollies and $1784 per box sold for his bubble gum.
- He is unsure of the future income from lollies, but he thinks that next year will be approximately $3568 per box sold.
Answer:
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Definitions:
l = boxes of lollies
b = boxes of bubble gum
Equations:
-
2b + 4l  ≤ 352
274b + 137l  ≤ 37538
l  ≥ 8
b  ≥ 6
Profit (this year) = 1784 b + 1490 l
Profit (future years) = 1784 b + 3568 l
Critical Points:
-
(6, 8)
(6, 85)
(124, 26)
(133, 8)
| Bubble gum | Lollies | This Year | Future Years |
|---|---|---|---|
| 6 | 8 | $22,624 | $39,248 |
| 6 | 85 | $137,354 | $313,984 |
| 124 | 26 | $259,956 | $313,984 |
| 133 | 8 | $249,192 | $265,816 |
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