A company has contracted to produce two products, A and B, over the months of June, July, and August. The total production capacity (expressed in hours) varies monthly.

The following table provides the basic data of the situation:

June July August Demand for A (units) 500 5000 750 Demand for B (units) 1000 1200 1200 Capacity (hours) 3000 3500 3000 The production rates in units per hour are .75 and 1 for products A and B, respectively.

All demand must be met. However, demand for a later month may be filled from the production in an earlier one. For any carryover from one month to the next, holding costs of $.90 and $.75 per unit per month are charged for products A and B, respectively.

The unit production costs for the two products are $30 and $28 for A and B, respectively.

Develop an LP model to determine the optimum production schedule for the two products and find the optimum solution using AMPL, Solver, or TORA.