Problem 16.6
Production cost per unit = 200
Segment Price Demand Profit
Customized $1,100.00 9,000 $8,100,000
Standard $766.67 17,000 $9,633,333
Total 26,000 $17,733,333
Problem 16.6 (Constrained case using Solver and Equation 16.2)
Production cost per unit = 200
Production Capacity = 20000
Segment Price Demand Profit
Customized $1,250.00 7,500 $7,875,000
Standard $916.67 12,500 $8,958,333
Total 20,000 $16,833,333