R
Roger Govier
Hi Tushar
You came to the same conclusion as my earlier posting, that this
particular example can be easily solved with pen and paper, and the same
mathematical result of $303.
However, my prize would be to the student who thinks like Wal-Mart and
says I can make $616.50.
If I stack one chair "seat down" on another chair, I can get in twice
the number of chairs.
Also, I can put the chairs on top of the tables, so in total I can stock
37 tables and 150 chairs.
As for the other constraints, well I'll tell the manufacturer because of
the large order I am giving him, I am going to reduce retail prices to
$9 for Tables and $6 for Chairs and he can have 50% of that figure to
manufacture, as well as give me 180 days credit.
I will have all the money in from sales before I need to pay him.
Only sell 40 chairs, why at my prices I can sell heaps more.
Advertising 1 table plus 4 chairs for $33 compared with my competitors
$47 I will sell out easily and make $616.50 profit compared with his
$303.
Or maybe the profit would only be $604.50 as the 2 "surplus" chairs
would probably be broken, stolen or be some sort of inventory loss.
Said with large tongue in cheek<bg>
You came to the same conclusion as my earlier posting, that this
particular example can be easily solved with pen and paper, and the same
mathematical result of $303.
However, my prize would be to the student who thinks like Wal-Mart and
says I can make $616.50.
If I stack one chair "seat down" on another chair, I can get in twice
the number of chairs.
Also, I can put the chairs on top of the tables, so in total I can stock
37 tables and 150 chairs.
As for the other constraints, well I'll tell the manufacturer because of
the large order I am giving him, I am going to reduce retail prices to
$9 for Tables and $6 for Chairs and he can have 50% of that figure to
manufacture, as well as give me 180 days credit.
I will have all the money in from sales before I need to pay him.
Only sell 40 chairs, why at my prices I can sell heaps more.
Advertising 1 table plus 4 chairs for $33 compared with my competitors
$47 I will sell out easily and make $616.50 profit compared with his
$303.
Or maybe the profit would only be $604.50 as the 2 "surplus" chairs
would probably be broken, stolen or be some sort of inventory loss.
Said with large tongue in cheek<bg>