The following data were obtained from Beta manufacturing company. Using the linear programming model, find the optimal production. Backorders are not allowed.

Demand data: DI = 200 units, D2 = 250 units, D3 = 400 units.

Capacity Data:

Regular time capacity: M1 = 220, M2 = 325, M3 = 125 Overtime capacity: Y1 = 75, Y2 = 80, Y3 = 45 Regular time cost/unit (r) = Z 15 Overtime cost/unit (v) = Z 20 Inventory cost/unit/period

(c) = Z 10 Hiring cost/unit (h) = Z 20 Layoff cost/unit

(f) = Z 12 Units produced at t = 0 (P0) = 225 Initial inventory (Jo) = 0.

Formulate a linear programming problem for the above aggregate planning problem to minimize the total cost and solve it.

AppendixLO1