A linear programming model has been formulated for two products, X and Y. The objective?function is depicted by the formula C = 5X + 6Y, where C = contribution, X = the number of?product X to be produced and Y = the number of product Y to be produced.?
Each unit of X uses 2 kg of material Z and each unit of Y uses 3 kg of material Z. The?standard cost of material Z is $2 per kg.?The shadow price for material Z has been worked out and found to be $2.80 per kg.?
If an extra 20 kg of material Z becomes available at $2 per kg, what will the maximum?increase in contribution be??