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What Is Molly
What Is Molly
2. If Molly purchases the new equipment, how many additional items will she have to dry-
clean each month to break even?
3. Molly estimates that with the new equipment she can increase her volume to 4,300 items per
month. What monthly profit would she realize with that level of business during the next 3
years? After 3 years?
Profit z: vp-cf-vcv=43000*1.10-2150-4300*0.25=1505/month
After three years:
Profit =4300*1.10-1700-4300*0.25=1955/month
new break even point , lower price=0.99$
1700/(0.99-0.25)=2297.3
Price lower , volume increase to 3800
Z= vp-cf-vcv= 1112/month
4. . Molly estimates that if she purchases the new equipment and lowers her price to $0.99 per
item, her volume will increase to about 4,700 units per month. Based on the local market, that is
the largest volume she can realistically expect. What should Molly do?
4700*.99-2150-4700*0.25=1328
Flours= 20cups
cake bread
flour 3 8
time 45 30
Selling price 10 6
The Easy Drive Car Rental Agency needs 500 new cars in its Nashville operation and 300 new
cars in Jacksonville, and it currently has 400 new cars in both Atlanta and Birmingham. It costs
$30 to move a car from Atlanta to Nashville, $70 to move a car from Atlanta to Jacksonville, $40
to move a car from Birmingham to Nashville, and $60 to move a car from Birmingham to
Jacksonville. The agency wants to determine how many cars should be transported from the
agencies in Atlanta and Birmingham to the agencies in Nashville and Jacksonville in order to
meet demand while minimizing the transport costs. Develop a mathematical model for this
problem and us
e logic to determine a solution.