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8. (15 pts) Smooth Sail Corporation (SSC) wants to minimize their costs of production. They must determine how many sailboats should be produced during the
8. (15 pts) Smooth Sail Corporation (SSC) wants to minimize their costs of production. They must determine how many sailboats should be produced during the next three periods. The demand during each of the three periods is as follows: Time Period Sales Target 45 60 75 At the beginning of the first period SSC has 10 sailboats. During each quarter, SSC can produce up to 40 sailboats at a total cost of $400 per sailboat, any sailboats produced over 40 are produced at a total cost of $450 per sailboat. At the end of each quarter when that quarter's demand has been satisfied a carrying or holding cost for any extra sailboats is $20 per sailboat. a. (8 pts) Fill in the following table with the algebraic form of this LP. (Hint: there are the exact number of rows and columns that you will need). Xi 2 , 5 , = RHS Cb. (4 pts) Do you think the solution for this problem would include ending inventory of sailboats during the third time period? Why or why not? c. (3 pts) When doing a multi-period LP where goods can be produced, demanded (sold), and stored in inventory for use in the following period there is one constraint that is always required (as discussed in class), what is the general format of that constraint
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