Toms Inc. produces various Mexican food products and sells them to Western Foods a chain of grocery stores located in Texas and New Mexico. Toms makes two salsa products: Western Foods Salsa and Mexico City Salsa. Essentially the two products have different blends of whole tomatoes tomato sauce and tomato paste. The Western Foods Salsa is a blend of 50% whole tomatoes 30% tomato sauce and 20% tomato paste. The Mexico City Salsa which has a thicker and chunkier consistency consists of 70% whole tomatoes 10% tomato sauce and 20% tomato paste. Each jar of salsa produced weighs 10 ounces. For the current production period Toms can purchase up to 280 pounds of whole tomatoes 130 pounds of tomato sauce and 100 pounds of tomato paste; the price per pound for these ingredients is $0.96 $0.64 and $0.56 respectively. The cost of the spices and the other ingredients is approximately $0.10 per jar. Toms buys empty glass jars for $0.02 each and labeling and filling costs are estimated to be $0.03 for each jar of salsa produced. Toms contract with Western Foods results in sales revenue of $1.64 for each jar of Western Foods Salsa and $1.93 for each jar of Mexico City Salsa. Develop a linear programming model that will enable Toms to determine the mix of salsa products that will maximize the total profit contribution.
