Abstract
The purpose of this paper is to show a practical procedure for evaluating economy of the multiproduct production system.Under the consideration of capacity restrictions of the system, such as man-hours available, machine-hours available, and the like, tke problem of obtaining the optimal operation planning which minimizes semi-variable costs is formulated. Then, mathematical relationships among the production volume (man-hours required), costs and profits are provided, Finally, the procedure for evaluating economy of the system, that is, how to achieve goal profits, is proposed and a numerical example is presented to explain the procedure proposed.
