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A company produces two products, A and B . The sales volume for A has to be at least 8 0 % of the total
A company produces two products, A and The sales volume for A has to be at least
of the total sales of both A and B However, the company cannot sell more than units of
A per day. Both products use one raw material, of which the maximum daily availability is
The usage rates of the raw material are per unit of A and per unit of The
profit units for A and B are $ and $ respectively.
a Formulate an LP to maximize profit.
b Graphically solve the LP clearly present the optimal solution and optimal value
c Determine the range of profit earned by selling one A that keeps the current solution
optimal. Use graphical solution
d Determine the shadow price of the raw material using graphical solution.
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