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Case Study 2

The Excel sensitivity report summarizes the optimal production levels for three products (tables, chairs, bookcases) under different constraints and profit assumptions. It considers five scenarios (A through E) that vary the unit profits and available resources to determine the mix of units that maximizes total profit while meeting all resource constraints.

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40 views4 pages

Case Study 2

The Excel sensitivity report summarizes the optimal production levels for three products (tables, chairs, bookcases) under different constraints and profit assumptions. It considers five scenarios (A through E) that vary the unit profits and available resources to determine the mix of units that maximizes total profit while meeting all resource constraints.

Uploaded by

armiejimenezz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Microsoft Excel 16.

70 Sensitivity Report
Worksheet: [Book1]Sheet1
Report Created: 2/27/23 9:08:24 PM

Variable Cells
Final Reduced Objective Allowable
Cell Name Value Cost Coefficient Increase
$B$12 Units Produced Tables 20 0 360 120
$C$12 Units Produced Chairs 0 -88.333333333 125 88.333333333
$D$12 Units Produced Bookcases 130 0 300 60

Constraints
Final Shadow Constraint Allowable
Cell Name Value Price R.H. Side Increase
$E$7 Resources_Used_In_Assembling 8100 2 8100 900
$E$8 Resources_Used_In_Finishing 4500 6.66666666667 4500 360
$E$9 Woods_Used 8100 0 9000 1E+030
Allowable
Decrease
60
1E+030
75

Allowable
Decrease
600
1462.5
900
1)
Tables Chairs Bookcases
Unit Profit ₱360 ₱125 ₱300

Resources Required Per Unit Resources Used


Assembly (minutes) 80 40 50 8100 <= 8100
Finishing (minutes) 30 20 30 4500 <= 4500
Wood (pounds) 80 10 50 8100 <= 9000

Tables Chairs Bookcases


Units Produced 20 0 130 Total Profit
46200

A
Tables Chairs Bookcases
Unit Profit ₱360 ₱225 ₱300

Resources Required Per Unit Resources Used


Assembly (minutes) 80 40 50 8100 <= 8100
Finishing (minutes) 30 20 30 4500 <= 4500
Wood (pounds) 80 10 50 5400 <= 9000

Tables Chairs Bookcases


Units Produced 0 90 90 Total Profit
47250

B
Tables Chairs Bookcases
Unit Profit ₱460 ₱125 ₱300

Resources Required Per Unit Resources Used


Assembly (minutes) 80 40 50 8100 <= 8100
Finishing (minutes) 30 20 30 4500 <= 4500
Wood (pounds) 80 10 50 8100 <= 9000

Tables Chairs Bookcases


Units Produced 20 0 130 Total Profit
48200

C
Tables Chairs Bookcases
Unit Profit ₱450 ₱125 ₱250
Resources Required Per Unit Resources Used
Assembly (minutes) 80 40 50 8100 <= 8100
Finishing (minutes) 30 20 30 3037.5 <= 4500
Wood (pounds) 80 10 50 8100 <= 9000

Tables Chairs Bookcases


Units Produced 101.25 0 0 Total Profit
45562.5

D
Tables Chairs Bookcases
Unit Profit ₱360 ₱125 ₱300

Resources Required Per Unit Resources Used


Assembly (minutes) 80 40 50 7620 <= 7620
Finishing (minutes) 30 20 30 4500 <= 4500
Wood (pounds) 80 10 50 7620 <= 9000

Tables Chairs Bookcases


Units Produced 4 0 146 Total Profit
45240

E
Tables Chairs Bookcases
Unit Profit ₱360 ₱125 ₱300

Resources Required Per Unit Resources Used


Assembly (minutes) 80 40 50 8340 <= 8340
Finishing (minutes) 30 20 30 4740 <= 4740
Wood (pounds) 80 10 50 7620 <= 9000

Tables Chairs Bookcases


Units Produced 14.66666667 0 143.333333 Total Profit
48280

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