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1 . ?A Utility company with 2 ?plants ( 1 5 ?points ) ?Recall that in Unit 2 ?we also had the following extension of
?A Utility company with ?plants ?points ?Recall that in Unit ?we also had the following extension of the one plant Utility Company problem: Suppose that the Utility Company is considering the possibility of building a second more efficient ?plant. Specifically, the cost of its existing plant, now called Plant ?and the cost of the new plant, now called Plant ?are given below: Plant Q ?Plant Q ?where Q ?and Q ?denote the respective kilowatts produced at the respective plants. Thus, Q ?Q Q ?What are the optimal production levels and optimal profit level? Hint: See Unit ?Practice Problem # ?& a ?Formulate as an algebraic optimization model. Submit copy of Handwritten answer, ?pts b ?Create Excel model using your model from part a Submit answer in an Excel file, ?pts c ?Then solve for the optimal output levels and optimal profit. Submit answer in an Excel file, ?pts
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