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. An air conditioning company manufactures three home air conditioners: a regular model, a super model, and a deluxe model. The profits per unit are

. An air conditioning company manufactures three home air conditioners: a regular model, a super model, and a deluxe model. The profits per unit are $50, $85, and $105, respectively. The production requirements per unit and the availability of the three resources are given below:

Regular Model

Super Model

Deluxe Model

Available

Number of fans

1

1

1

500

Number of cooling coils

1

3

5

1000

Manufacturing Time

12

22

25

6000 hours

How many regular models, super models, and deluxe models should the company manufacture in order to maximize profit?

(a) Formulate a linear optimization model for this problem by defining the decision variables, objective function and all the constraints. What do they represent?

(b) Solve this model by using the Excel Solver. Include Excel output with you answer.

(c) Determine the optimal solution. Interpret and make recommendations based on the optimal solution.

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