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A university plans to build a new computer lab for its students for data analysis andsimulation modelling. It has determined the number of computers needed

A university plans to build a new computer lab for its students for data analysis andsimulation modelling. It has determined the number of computers needed each monthforthe next 12months based on thestudent enrollment, as givenin Table 1.

Table1:Numberofcomputers needed

Month

1

2

3

4

5

6

Requirements

60

60

60

80

80

20

Month

7

8

9

10

11

12

Requirements

20

60

70

70

80

80

Theuniversityiswonderingwhethertorentthecomputersorbuynewcomputers.

Computers canberentedforaperiodofone,two,orthreemonths. Table2showsthe costofrenting.

Table2:Costofrenting

Durationofrent

Cost

1

$250

2

$450

3

$650

Theuniversitydoesnothaveanycomputersatthe startoftheyear.

Question1a

Apply linear programming (LP) to formulate the problem to determine the number ofcomputerstheuniversityshouldrenteachmonthandforhowlong,sothatthetotalcostofrentingis minimum.

Question1b

SolvetheLPmodel inQuestion 1abydeveloping aspreadsheet model.

How many computers should the university rent each month and for how long? Whatistheoptimal cost of renting?

You can assume that fractional rental is possible. Present your solutions by roundingupordown the number.

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