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Group Assignment 2 Complete the following problems in a group using Microsoft Excel. Please submit only one file per group. 1. Consider the bakery example

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Group Assignment 2 Complete the following problems in a group using Microsoft Excel. Please submit only one file per group. 1. Consider the bakery example we solved in class for the best capacity allocation. Suppose now that the bakery has become very successful and has expanded. Now they offer five cakes: Mango with profit margin $32 per cake, Chocolate with profit margin $15 per cake, Strawberry with profit margin $11 per cake, Raspberry with profit margin $11 per cake, and Pineapple with profit margin $20 per cake. The minimum and maximum demand for each type of cake (per day) is provided in [MiN, MAXI format: Mango: [20,40]; Chocolate: [55,80]; Strawberry: [50,120]; Raspberry: {20,70}; Pineapple: [25,60]. They have also expanded their capacity in their four main steps. Please see the following table for both available capacity and how much capacity each cake consumes at a given step. Your goal is to determine how many of each cake to produce per day to maximize profits. Mango Chocolate Strawberry Raspberry Pineapple Preparing (mins) Avail 2000 mins [day 8 Mixing (mins) Avail 3200 mins [day Baking (mins) Avail 10000 mins [day 40 Decorating (mins) Avail 1000 mins /day 4.5 a. Formulate the linear profit maximization problem in terms of the decision variables, as we showed on the whiteboard in class. b. Set up the optimization problem using Excel c. Solve the profit maximization problem using either your own intuition, but also verify with an Excel Solver model. Solving means identifying the best quantities to produce of each cake per day, and showing the maximum profits that can be achieved daily. d. Determine the shadow prices of the capacity at the four main steps. Also determine the shadow price of the maximum demand constraint for each cake

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