Question

Woodland Bicycles makes two models of off-road bicycles: the Explorer, which sells for $250, and the Grande Expedition, which sells for $350. Both models use the same frame, but the painting and assembly time required for the Explorer is 2 hours, while the time is 3 hours for the Grande Expedition. There are 375 frames and 450 hours of labor available for production. How many of each model should be produced to maximize revenue?

Answer 1

325 Explorers

50 Grande Expeditions

Explanation:

Answer 2

They should produce 100 Explorers and 275 Grande Expeditions. To maximize revenue, we want to use all 375 frames. Since the more expensive bike take longer to make, we also want to use all 450 hours so we can make as many of the more expensive bikes as possible with the 375 frame. This helps us create a 2 variable system that can be solved. Let x=Explorers and y=Grande Expeditions x+y=375 2x+3y=450