Tom's, Inc., produces various Mexican food products and sells them to Western Foods, a chain of grocery stores located in Texas and New Mexico. Tom's, Inc., makes twosalsa products: Western Foods Salsa and Mexico City Salsa. Essentially, the two products have different blends of whole tomatoes, tomato sauce, and tomato paste. TheWestern Foods Salsa is a blend of 50% whole tomatoes, 30% tomato sauce, and 20% tomato paste. The Mexico City Salsa, which has a thicker and chunkier consistency,consists of 70% whole tomatoes, 10% tomato sauce, and 20% tomato paste. Each jar of salsa produced weighs 10 ounces.For the current production period, Tom's, Inc., can purchase up to 285 pounds of whole tomatoes, 140 pounds of tomato sauce, and 100 pounds of tomato paste; the priceper pound for these ingredients is $0.96, $0.64, and $0.56, respectively. The cost of the spices and the other ingredients is approximately $0.10 per jar. Tom's, Inc., buysempty glass jars for $0.02 each, and labeling and filling costs are estimated to be $0.03 for each jar of salsa produced. Tom's contract with Western Foods results in salesrevenue of $1.64 for each jar of Western Foods Salsa and $1.93 for each jar of Mexico City Salsa. LettingW jars of Western Foods Salsajars of Mexico City Salsaleads to the formulation (units for constraints are ounces):Max 1W + 1.25Ms.t.M=5W + 7M3W + 1M2W + 2MW, M ≥ 0The computer solution is shown below.VariableWMOptimal Objective Value = 870.00000Constraint123VariableWMConstraint≤ 4,560< 2,240≤ 1,600123Value520.00000280.00000oz of whole tomatoesoz of tomato sauceoz of tomato pasteSlack/Surplus0.00000400.000000.000001.000001.25000Reduced Cost0.000000.00000Objective AllowableCoefficientIncreaseRHSValue4560.000002240.000001600.00000Dual Value0.125000.000000.187500.250000.15000AllowableIncrease1040.00000Infinite100.00000AllowableDecrease0.107140.25000AllowableDecrease400.00000400.00000297.14286 (a) What is the optimal solution, and what are the optimal production quantities?WMprofit(b) Specify the objective function ranges. (Round your answers to five decimal places.)Western Foods SalsaMexico City Salsajarsjars(c) What are the dual values for each constraint? Interpret each.constraint 1One additional ounce of whole tomatoes will improve profits by $400.00.One additional ounce of whole tomatoes will improve profits by $0.125.One additional ounce of whole tomatoes will improve profits by $0.188.Additional ounces of whole tomatoes will not improve profits.constraint 2One additional ounce of tomato sauce will improve profits by $400.00.One additional ounce of tomato sauce will improve profits by $0.125.One additional ounce of tomato sauce will improve profits by $0.188.Additional ounces of tomato sauce will not improve profits.constraint 3One additional ounce of tomato paste will improve profits by $400.00.One additional ounce of tomato paste will improve profits by $0.125.One additional ounce of tomato paste will improve profits by $0.188.Additional ounces of tomato paste will not improve profits.constraint 1(d) Identify each of the right-hand-side ranges. (Round your answers to two decimal places. If there is no upper or lower limit, enter NO LIMIT.)constraint 2constraint 3tototototo

As per Bartleby guidelines, we can only solve the first three subparts of one question at a…

Tom's, Inc., produces various Mexican food products and sells them to Western Foods, a chain of grocery stores located in Texas and New Mexico. Tom's, Inc., makes two salsa products: Western Foods Salsa and Mexico City Salsa. Essentially, the two products have different blends of whole tomatoes, tomato sauce, and tomato paste. The Western Foods Salsa is a blend of 50% whole tomatoes, 30% tomato sauce, and 20% tomato paste. The Mexico City Salsa, which has a thicker and chunkier consistency, consists of 70% whole tomatoes, 10% tomato sauce, and 20% tomato paste. Each jar of salsa produced weighs 10 ounces. For the current production period, Tom's, Inc., can purchase up to 285 pounds of whole tomatoes, 140 pounds of tomato sauce, and 100 pounds of tomato paste; the price per pound for these ingredients is $0.96, $0.64, and $0.56, respectively. The cost of the spices and the other ingredients is approximately $0.10 per jar. Tom's, Inc., buys empty glass jars for $0.02 each, and labeling and filling costs are estimated to be $0.03 for each jar of salsa produced. Tom's contract with Western Foods results in sales revenue of $1.64 for each jar of Western Foods Salsa and $1.93 for each jar of Mexico City Salsa. Letting W = jars of Western Foods Salsa M = jars of Mexico City Salsa leads to the formulation (units for constraints are ounces): Max 1W+1.25M s.t. 5W + 7M 3W + 1M 2W + 2M W, M 20 The computer solution is shown below. Variable W M Optimal Objective Value = 870.00000 Constraint 1 2 3 Variable W M ≤ 4,560 ≤ 2,240 ≤ 1,600 Constraint 1 2 3 oz of whole tomatoes oz of tomato sauce oz of tomato paste Value Reduced Cost 0.00000 0.00000 520.00000 280.00000 Slack/Surplus 0.00000 400.00000 0.00000 1.00000 1.25000 Objective Allowable Allowable Coefficient Increase Decrease 0.10714 0.25000 Dual Value 0.12500 0.00000 0.18750 RHS Value 0.25000 0.15000 Allowable Increase 4560.00000 1040.00000 2240.00000 Infinite 1600.00000 100.00000 Allowable Decrease 400.00000 400.00000 297.14286

Tom's, Inc., produces various Mexican food products and sells them to Western Foods, a chain of grocery stores located in Texas and New Mexico. Tom's, Inc., makes two salsa products: Western Foods Salsa and Mexico City Salsa. Essentially, the two products have different blends of whole tomatoes, tomato sauce, and tomato paste. The Western Foods Salsa is a blend of 50% whole tomatoes, 30% tomato sauce, and 20% tomato paste. The Mexico City Salsa, which has a thicker and chunkier consistency, consists of 70% whole tomatoes, 10% tomato sauce, and 20% tomato paste. Each jar of salsa produced weighs 10 ounces. For the current production period, Tom's, Inc., can purchase up to 285 pounds of whole tomatoes, 140 pounds of tomato sauce, and 100 pounds of tomato paste; the price per pound for these ingredients is $0.96, $0.64, and $0.56, respectively. The cost of the spices and the other ingredients is approximately $0.10 per jar. Tom's, Inc., buys empty glass jars for $0.02 each, and labeling and filling costs are estimated to be $0.03 for each jar of salsa produced. Tom's contract with Western Foods results in sales revenue of $1.64 for each jar of Western Foods Salsa and $1.93 for each jar of Mexico City Salsa. Letting W = jars of Western Foods Salsa M = jars of Mexico City Salsa leads to the formulation (units for constraints are ounces): Max 1W+1.25M s.t. 5W + 7M 3W + 1M 2W + 2M W, M 20 The computer solution is shown below. Variable W M Optimal Objective Value = 870.00000 Constraint 1 2 3 Variable W M ≤ 4,560 ≤ 2,240 ≤ 1,600 Constraint 1 2 3 oz of whole tomatoes oz of tomato sauce oz of tomato paste Value Reduced Cost 0.00000 0.00000 520.00000 280.00000 Slack/Surplus 0.00000 400.00000 0.00000 1.00000 1.25000 Objective Allowable Allowable Coefficient Increase Decrease 0.10714 0.25000 Dual Value 0.12500 0.00000 0.18750 RHS Value 0.25000 0.15000 Allowable Increase 4560.00000 1040.00000 2240.00000 Infinite 1600.00000 100.00000 Allowable Decrease 400.00000 400.00000 297.14286

MARKETING 2018

19th Edition

ISBN:9780357033753

Author:Pride

Publisher:Pride

Chapter12: Developing And Managing Products

Section12.1: Sriracha Heats Up The Hot Sauce Market

Problem 3VC

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