Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Linear programming
- This topic has 1 reply, 2 voices, and was last updated 7 years ago by
John Moffat.
- AuthorPosts
- February 3, 2018 at 1:22 pm #434895
A company makes two products, X and Y, on the same type of direct labour and production capacity per
period is restricted to 60,000 direct labour hours. The contribution per unit is $8 for Product X and $6 for
Product Y. The following constraints apply to production and sales:
x ? 10,000 (Sales demand for Product X)
y ? 12,000 (Sales demand for Product Y)
5x + 4y ? 60,000 (Direct labour hours)
The contribution-maximising output is to produce and sell 10,000 units of Product X and 2,500 units of
Product Y.
What is the shadow price per direct labour hour and for how many additional hours of labour does this
shadow price per hour apply?
A $1.50 per hour for the next 38,000 direct labour hours
B $1.50 per hour for the next 47,500 direct labour hours
C $1.60 per hour for the next 38,000 direct labour hours
D $1.60 per hour for the next 47,500 direct labour hoursI need help please
February 4, 2018 at 4:54 am #434969Have you watched my free lectures on linear programming (because I do explain how to deal with this in the lectures 🙂 ) ?
- AuthorPosts
- The topic ‘Linear programming’ is closed to new replies.