Profit Calculation for Crew Beer Production Manager

What is the profit if the production manager wants to produce 100 bottles of light beer and 150 bottles of dark beer?

Calculate the total profit based on the given data.

Profit Calculation:

To calculate the profit, we need to first determine if the resources available are sufficient to produce the desired quantity of beer.

The production manager for Crew Beer produces two kinds of beer: lager (L) and deep (D). Two resources used to produce beer are malt and wheat. The manager can obtain at most 4900 oz of malt per week and at most 2500 oz of wheat per week, respectively.

Each bottle of light beer requires 13 oz of malt and 5 oz of wheat, while a bottle of dark beer uses 6 oz of malt and 12 oz of wheat. Profits for light beer are $3 per bottle, and profits for dark beer are $1.50 per bottle.

If the production manager wants to produce 100 bottles of light beer and 150 bottles of dark beer, her profit would be?

Resource Calculation:

For light beer: 100 bottles * 13 oz/bottle = 1300 oz of malt

For dark beer: 150 bottles * 6 oz/bottle = 900 oz of malt

Total malt required: 1300 oz + 900 oz = 2200 oz

For light beer: 100 bottles * 5 oz/bottle = 500 oz of wheat

For dark beer: 150 bottles * 12 oz/bottle = 1800 oz of wheat

Total wheat required: 500 oz + 1800 oz = 2300 oz

Since the production manager can obtain at most 4900 oz of malt per week and at most 2500 oz of wheat per week, there is enough resources available to produce the desired quantity of beer. Therefore, the production manager can produce 100 bottles of light beer and 150 bottles of dark beer.

Profit Calculation:

The profit for the light beer would be: 100 bottles * $3/bottle = $300

The profit for the dark beer would be: 150 bottles * $1.50/bottle = $225

Total profit: $300 + $225 = $525

← How are workers classified as independent employees Standard hours calculation a source of productivity →