4 Gepbab Corporation produces three products at two different plants. The cost of producing a unit at
Question:
4 Gepbab Corporation produces three products at two different plants. The cost of producing a unit at each plant is shown in Table 6. Each plant can produce a total of 10,000 units. At least 6,000 units of product 1, at least 8,000 units of product 2, and at least 5,000 units of product 3 must be produced. To minimize the cost of meeting these demands, the following LP should be solved:
Here, xij number of units of product j produced at plant i. Use the LINDO output in Figure 9 to answer the following questions:
a What would the cost of producing product 2 at plant 1 have to be for the firm to make this choice?
b What would total cost be if plant 1 had 9,000 units of capacity?
c If it cost $9 to produce a unit of product 3 at plant 1, then what would be the new optimal solution?
Step by Step Answer:
Operations Research Applications And Algorithms
ISBN: 9780534380588
4th Edition
Authors: Wayne L. Winston