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# Solved paper 32052

The Pitts Barbecue Company makes three kinds of barbecue sau. The Pitts Barbecue Company makes three kinds of barbecue sauce: Extra Hot, Hot,and Mild. Pitts vice president of marketing estimates that the company can sell 8,000cases of its Extra Hot sauce plus 10 extra cases for every dollar it spends promotingthis sauce; 10,000 cases of Hot sauce plus 8 extra cases for every dollar spent promotingthis sauce; and 12,000 cases of its Mild sauce plus 5 extra cases for every dollarspent promoting this sauce. Although each barbecue sauce sells for \$10 per case, thecost of producing the different types of sauce varies. It costs the company \$6 to producea case of Extra Hot sauce, \$5.50 to produce a case of Hot sauce, and \$5.25 to producea case of Mild sauce. The president of the company wants to make sure the companymanufactures at least the minimum amounts of each sauce that the marketingvice president thinks the company can sell. A budget of \$25,000 total has been approvedfor promoting these items of which at least \$5,000 must be spent advertisingeach item. How many cases of each type of sauce should be made, and how do yousuggest that the company allocate the promotional budget to maximize profits?a. Formulate an LP model for this problem.b. Create a spreadsheet model for this problem, and solve it using Solver.c. What is the optimal solution? The Pitts Barbecue Company makes three kinds of barbecue sau

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