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Analyze the production problem at Better Fitness, Inc., and prepare a report for BFI's president presenting your findings and recommendations. Include (but do not limit your discussion to) a...

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Analyze the production problem at Better Fitness, Inc., and prepare a report for BFI's president presenting your findings and recommendations. Include (but do not limit your discussion to) a consideration of the following items: 1. The recommended number of Body Plus 100 and Body Plus 200 machines to produce 2. The effect on profits of the requirement that the number of units of the a Body Plus 200 produced must be at least 25%ofthe total production 3. Where efforts should be expended in order to increase contribution to profits Include a copy of your linear programming model and graphical solution in an appendix to your report.
Answered Same Day Dec 24, 2021

Solution

David answered on Dec 24 2021
121 Votes
Running head: WEEK 6: WORK 2 1
Week 6: Work 2
For this week’s assignment we are going to take a look at the Production Strategy Case
Problem (Anderson et al, 2010) wherein we will analyze the production problem at Better
Fitness, Inc., and prepare a report for BFI’s president presenting your findings and
ecommendations. Include (but do not limit your discussion to) a consideration of the following
items:
1. The recommended number of BodyPlus 100 and BodyPlus 200 machines to produce
2. The effect on profits of the requirement that the number of units of the BodyPlus 200
produced must be at least 25% of the total production
3. Where efforts should be expended in order to increase contribution to profits Include a
copy of your linear programming model and graphical solution in an appendix to your
eport.
Objective: Maximize total profit Decision Variables: B1 = BodyPlus100, B2
= BodyPlus 200
B1MSRP = $2400 B2MSRP = $3500
RS1 = B1 Raw material costs = $1050 RB2 = B2 Raw material costs = $1575
AB1 = Authorized Dealer Discount = 0.30($2400)...
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