Cherillee Toys makes a fiberglass tricycle for kids that is composed of three major components: a handlebar-front wheel-pedal assembly, a seat, and frame unit, and rear wheels. The company has orders for 12,000 of these tricycles. The company does not have the resources available to manufacture everything needed for the completion of 12,000 tricycles so it has gathered purchase information for each component.
The following table shows relevant information:
Requirements
Cost to
Manufacture
Cost to
Purchase
Component
Plastic
Time
Space
Front
3
10
2
8
12
Seat/Frame
4
6
2
6
9
Rear wheel (each)
.5
2
.1
1
3
Available
50,000
160,000
30,000
Develop a linear programming model to advise the operations manager of Cherillee Toys how many of each component should be manufactured and how many should be purchased in order to provide 12,000 fully completed tricycles at the minimum cost.