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Maximizing Radio Production Profit with Constraints

This document outlines a profit maximization strategy for producing deluxe and standard radios. The deluxe models yield a profit of $25 each, while the standard models yield $30 each. The objective function is defined as P = 25(x) + 30(y), where x represents deluxe radios and y represents standard radios. Constraints include a minimum production requirement of 80 deluxe radios, 100 standard radios, and a daily production cap of 200 radios. The calculated profit from producing 80 deluxe and 120 standard radios totals $5600.

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Maximizing Radio Production Profit with Constraints

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  1. CB Radios Mike Arroyo & Derek Reif

  2. Maximize Profit • Deluxe models yield $25 • Standard models yield $30 • Objective function P=25(x)+30(y)

  3. Constraints • Must produce ≥ 80 deluxe radios • Must produce ≥ 100 standard radios • Cannot produce more than 200 radios per day

  4. Profit • P=25(x)+30(y) • X=deluxe Y=standard • P=25(80)+30(120) • P=5600

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