Car Phones, Inc

Essay

Car Phones, Inc. (CP), sells two models of cell phones: Model A and Model B. Records show that 3 hours of sales time are used for each Model A cell phone that is sold and 5 hours of sales time for each Model B telephone. A total of 600 hours of sales time is available for the next 4-week period. In addition, management planning policies call for minimum sales goals of 100 units for Model A and 80 units for Model B. Furthermore, the number of phones that CP makes is limited by its critical process, the plastic injection molding machine, which can produce a maximum of 1500 phones per 4-week period. CP makes a $40 profit contribution for each Model A sold and a $50 profit contribution for each Model B sold. Formulate a Linear Program that can be used to determine the optimal production amounts CP for the next 4-week period.