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A commuter airline makes lattes in the galley and sells them to passengers. A re

ID: 406340 • Letter: A

Question

A commuter airline makes lattes in the galley and sells them to passengers. A regular latte contains a shot of espresso, 1 cup of 2% milk, frothed, and 0.5 cup of whipped cream. The low-fat latte contains a shot of espresso, 1.25 cups of skim milk, frothed, and no whipped cream. The plane begins its journey with 100 shots of espresso, 60 cups of skim milk, 60 cups of 2% milk, and 30 cups of whipped cream. The airline makes a profit of $1.58 on each regular latte and $1.65 on each low-fat latte. Assuming that all lattes that are made can be sold, what would be the ideal mix of regular and low-fat lattes to maxi-mize the profit for the airline?

Explanation / Answer

Ingredient

Regular Latte

low-fat latte

Total

espresso in shot

1

1

100

Cups 2% milk

1

0

60

Cups Skimmed Milk

0

1.25

60

Cup of Whipped Cream

0.5

0

30

Profit

1.58

1.65

The profit of Low fat Late is more than The regular latte

With 60 cups of skimmed milk no. of low fat latte that can be made = 60/1.25 = 48

Maximum low- fat latte = 48

Profit from low fat latte = 48 * 1.65 = 79.2

After 48 cups of low fat late the number of regular latte that can be made

Ingredients left after 48 cups of low fat latte

Ingredient

Regular Latte

low-fat latte

Total

Remaining

espresso in shot

1

1

100

52

Cups 2% milk

1

0

60

60

CupsSkimmed Milk

0

1.25

60

0

Cup of Whipped Cream

0.5

0

30

30

Profit

1.58

1.65

Regular Latte that can be made = 52

Profit from regular latte = 52* 1.58 = 82.16

Total Profit = 79.2 + 82.16

= 161.36

Ingredient

Regular Latte

low-fat latte

Total

espresso in shot

1

1

100

Cups 2% milk

1

0

60

Cups Skimmed Milk

0

1.25

60

Cup of Whipped Cream

0.5

0

30

Profit

1.58

1.65

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