BS-CHE 5 12:30-2:00 MW Instructor: Engr. Jan Vincent Madayag COMPUTER APPLICATIONS Homework: Nova manufacturing has purchased a new machine to make shovels. The machine is capable of making up to 200 shovels/h. However, the hourly cost of operating the machine increases with its rate of production, the relationship is given by the formula Hourly cost= rate2 /10. Regardless of the rate of population, the machine must be attended by workers whose total rate of pay is $80/h and there is a fixed data cost of $200 associated with running the machine. The materials cost $2/shovel and the finished product sells for $15. There are two parameters that can be adjusted in order to maximize the profit margin. They are: (1) the rate at which to run the machine, and (2) how many hours during a normal 8-hour working day to operate the machine?