Due to the increasing youth unemployment rates in Toroma County, the area Mem
of Parliament has advocated for the Support Material:
establishment
of small enterprises for the
youths so as to boost their incomes. But most
of these enterprises
fail to reach their second
birthday due to poor
resource management.
A group of youth
formed ABC Furniture
Enterprise that makes
chairs and tables.
At the enterprise, each table is sold at UGX
120,000 and a chair at UGX
70,000. But the
total cost of making a table and a chair is
UGX 50,000 and UGX 30,000, respectively
.
The carpenters in the enterprise can afford to
spend up to 40 hours per week working and to take six hours to make a table and th
hours to make a chair.
The current customer demand requires that they make at least three times as m
chairs as tables. Tables take up four times as much storage space as chairs and ther
room for, at most, four tables each week.
Task: ABC Furniture Enterprise has hired you as the research operation analyst to h
them to be able to survive in business. Prepare a strategic
plan report to the Managem
highlighting the numbers of tables and chairs that can
maximise profits.
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