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A Company Is Developing Its Weekly Production Plan \quad \quad

Question 29

Multiple Choice

A company is developing its weekly production plan. The company produces two products, A and B, which are processed in two departments. Setting up each batch of A requires $60 of labor while setting up a batch of B costs $80. Each unit of A generates a profit of $17 while a unit of B earns a profit of $21. The company can sell all the units it produces. The data for the problem are summarized below. \quad \quad \quad \quad  Hours required by \text { Hours required by }
 Operation  A  B  Hours  Cutting 3448 Welding 2136\begin{array}{lccc}\text { Operation } & \text { A } & \text { B } & \text { Hours } \\\hline \text { Cutting } & 3 & 4 & 48 \\\text { Welding } & 2 & 1 & 36\end{array} The decision variables are defined as
Xi = the amount of product i produced
Yi = 1 if Xi > 0 and 0 if Xi = 0
What is the appropriate value for M1 in the linking constraint for product A?


A) 2
B) 3
C) 16
D) 12

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