# New Age Pharmaceuticals produces the drug NasaMist from four chemicals

August 31, 2017

Question
New Age Pharmaceuticals produces the drug NasaMist from four chemicals. Today, the company must produce 1000 pounds of the drug. The three active ingredients in NasaMist are A, B and C. By weight, at least 8% of NasaMist must consist of A, at least 4% of B, and at least 2% of C. The cost per pound of each chemical and the amount of each active ingredient in one pound of each chemical are given. At leasat 100 pounds of chemical 2 must be used.

a. Determine the cheapest way of producing today’s bath of NasaMist.

b. Use SolverTable to see how much the percentage of requirement of A is really costing New Age. Let the percentage required vary from 6% to 12%.

New Age Pharmaceuticals
Cost/lb of chemicals
Chemical 1 \$8
Chemical 2 \$10
Chemical 3 \$11
Chemical 4 \$14
Ingredient/lb of chemical
A B C
Chemical 1 0.03 0.02 0.01
Chemical 2 0.06 0.04 0.01
Chemical 3 0.10 0.03 0.04
Chemical 4

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