Lion Golf Supplies Operates Three Production Plants In Sarasota Florida Louisville K 2768448

Lion golf supplies operates three production plants in Sarasota, Florida, Louisville, Kentucky, and Carson, California. The plant in Sarasota can produce the high end “professional” line of golf clubs and the more moderate “deluxe” line. The plant in Louisville can produce the deluxe line and basic “weekender” line,while the one in carson can produce all three models.the amount of steel,aluminum and wood required to make a set of each line of clubs (including waste),the monthly availability of these resources at each o the three plants and the gross profit per set are given in the following.

Steel aluminum wood gross profit

Professional 3.2 lbs. 5.0 lbs 5.2 lbs $250

Deluxe 3.6 lbs 4.0 lbs 4.8 lbs $175

Weekender 2.8 lbs 4.5 lbs 4.4 lbs $200

Available monthly 5000 lbs 7000 lbs 10000 lbs

Sarasota

Available monthly 9000 lbs 13000 lbs 18000 lbs

Louisville

Available monthly 14000 lbs 18000 lbs 20000 lbs

Carson

Lion has three major distribution centers in Anaheim, California, Dallas, Texas and Toledo, Ohio. The projected monthly demand and unit transportation costs for each line between the manufacturing centers and distribution centers are given in the following table. Lion must ship between 80% and 100% of the demand for each line to each distribution center.

Professional sarasota Louisville carson total demand

Anaheim $45 $9 600

Dallas $32 $40 400

Toledo $30 $50 200

Deluxe sarasota Louisville carson total demand

Anaheim $40 $34 $6 800

Dallas $28 $18 $35 1000

Toledo $25 $10 $40 1100

Weekender sarasota Louisville carson total demand

Anaheim $30 $5 800

Dallas $15 $30 1500

Toledo $9 $36 1000

Determine an optimal production/shipping pattern for Lion Golf Supplies.

Prof. Angela

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