Extraction

20,000 pounds/hour + 10,000 pounds/30minutes

Filtration
20,000 pounds/hour + 10,000 pounds/30minutes
Concentration
18,000 pounds/hour + 9,000 pounds/ 30minutes
The cost of additional pounds for
step 2 = 2 0 0 0 0 ~ 3 0 + 10,000 =
61 O ,000 dollars
The cost of additional pounds for
step 3 = 2 0 0 0 0 ~ 3 0 + 20,000 =
620,000 dollars
Extracti on lh
Filtrati on lh
Concentration l . lh
hour 1
s ituati on 1 (assUJ11e that oranges are processed based on one hour f r ame. ) The j uice will flow to next stage
wai t ing t he whole unit is finished.
How much time <loes it take for the blending
operation to process one 8,000-pound order
from company A?
8,000/22,000 = 36%
36%.f'60min = 21.6 min.
21.6+40 = 61.6 min
Which set of contracts in Table A would you
recommend that Natural Blends accepts?
CandD
Why?
Produce a total of 540,000 per week
Maximize
Wiggle room
Contract S for rest
Q7. lmprovement to maximize the
output
W eek total working time: 6 -)' 8 -i' 60 = 2880 mins
Total week capacity: 6 -i' 8 -i' 13500 = 648000
Number of Quanti ty Contribution Tiae f or Time for Total Total
orders of orders per pound one order t otal pounds profi t
A 24 8000 0.03 61.6 1478.4 192000 5760
B 18 16000 0 .028 83.8 1508.4 288000 8064
e 15 24000 0.026 105.4 1581 360000 9360
D 10 18000 0.024 89.2 892 180000 4320
Tiine left for Contract S:
2880- 1581 - 892 =407
Ainount of S: (407 - 40) / 60 -'i' 22000 = 134567
Ainount of total production:
134567 + 360000 + 180000 = 674567
Blending step becoine bottle f or:
648000 > 540000
Conclusion: C. reducing the filtration setup tiine
Generally speaking, this case
actually helped us understanding
and analyzing the concept of
capacity and the method to explore
the final answer.