Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

department, are as follows: During the next production period the labor - hours available are 4 5 0 in department A , 3 5 0

department, are as follows:
During the next production period the labor-hours available are 450 in department A,350 in department B, and 50 in department C. The profit contributions per
unit are $30 for product 1,$25 for product 2, and $28 for product 3.
(a) Formulate a linear programming model for maximizing total profit contribution.
If the constant is "1" it must be entered in the box. If required, round your answers to two decimal places.
Let Pi= units of product i produced
(b) Solve the linear program formulated in part (a). How much of each product should be produced, and what is the projected total profit contribution?
Profit $
(c) After evaluating the solution obtained in part (b), one of the production supervisors noted that production setup costs had not been taken into account. She
noted that setup costs are $400 for product 1,$550 for product 2, and $600 for product 3. If the solution developed in part (b) is to be used, what is the
total profit contribution after taking into account the setup costs?
$
(d) Management realized that the optimal product mix, taking setup costs into account, might be different from the one recommended in part (b). Formulate a
mixed-integer linear program that takes setup costs provided in part (c) into account. Management also stated that we should not consider making more
than 175 units of product 1,150 units of product 2, or 140 units of product 3. What are the new objective function and additional equation constraints?
If the constant is "1" it must be entered in the box.
Let Yi is one if any quantity of product i is produced and zero otherwise.
(e) Solve the mixed-integer linear program formulated in part (d). How much of each product should be produced and what is the projected total profit
contribution? Compare this profit contribution to that obtained in part (c).
If required, round your answers to nearest whole number. If your answer is zero enter "0".
Updated Profit $
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Tourism Supply Chain Management

Authors: Haiyan Song

1st Edition

0415581567, 9780415581561

More Books

Students also viewed these General Management questions

Question

What would it look like?

Answered: 1 week ago