Assignment:
The Ranger group of industries has a factory that produces action figures based on estimated demand. Two types of machines can be used to make these figures: Captain machines and Regular machines. Captain machine takes 7 minutes (of machine time) to produce each figure and Regular machine takes 6 minutes (of machine time) to produce each figure. It costs 1.3 $ per figure at the Captain machine and 1.35$ at the Regular machine. It takes on an average 5 minutes of labor time at the Captain machine and 2 minutes of labor time at the Regular machine. The factory has 29 regular machines and 6 captain machines. The machines operate five days a week for 9 hours each day.
Assume 13 weeks in a quarter. The factory also has 7000 hours of labor time available for this quarter dedicated to this process. Any action figure that cannot be manufactured in the factory, because of limited capacity will have to be purchased from an external supplier at a cost of 1.7$ per figure. The expected demand for the next quarter is 200,000.
The Ranger Group would like to meet this demand at the lowest cost possible and the manager needs to decide how many action figures to produce in each of its two machines during the coming quarter. Use Solver to find the optimal solution. The optimal number of figures to outsource to an external supplier in that quarter is (keep two decimals) and the optimal cost in the quarter is (keep two decimals).