Answered step by step
Verified Expert Solution
Question
1 Approved Answer
claims claims with errors cost permanent 36 per day 1.5 per day $108 per day temporary 24 per day 2.8 per day $76 per
claims claims with errors cost permanent 36 per day 1.5 per day $108 per day temporary 24 per day 2.8 per day $76 per day Centivo is an insurance claims processing company in New York. At Centivo, most claims processing is handled by a large pool of computer operators. The pool is a mixture of permanent and temporary employees who operate at differing levels of efficiency. The table above describes the daily pay and performance of the two categories of worker. The company needs to process 450 claims per day. The company wants to limit claims with errors to no more than 45 per day. Currently, Centivo only has up to 40 computer workstations available for claims processing. Determine the appropriate number of permanent and temporary computer operators to hire in order to meet its daily goals while minimizing costs. Let X = number of permanent computer operators hired and Y = number of temporary computer operators hired. Formulate a linear programming model for this problem. Minimize Cost X+ AY Subject to: X+ processed per day requirement) A X+ day) X+ computer workstations) X,Y A (claims Ys A (max errors per Ys (non-negativity conditions) (max number of
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started