1. Buckeye Furniture produces tables and chairs, earning $120 profit per table and $80 profit per chair. Each table and chair goes through three stages in the manufacturing process: assembly, finishing, and inspection. Each table requires 3 hours of assembly, 2 hours of finishing, and 1 hour of inspection. Each chair requires 2 hours of assembly, 2 hours of finishing, and 1 hour of inspection. Every week there are 200 hours of assembly time available, 180 hours of finishing time, and 40 hours of inspection time.
The decision variables in the model are X1 for the number of tables and X2 for the number of chairs. All constraints must be in the proper form of a linear equation.
Suppose profit per table decreased to $50. How might the optimal solution change?
The profit margin would have no effect on the optimal solution
We may produce less tables and more chairs
We may produce less tables and chairs
We may produce more tables to make up the difference in profit
None of the above
2. True or false: Arbitration clauses are rarely used in the context of labor and employment disputes.