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Johnson & Co. builds electric motors it supplies to appliance manufacturers. This month, demand for the motors has outpaced capacity, and Johnson must decide
Johnson & Co. builds electric motors it supplies to appliance manufacturers. This month, demand for the motors has outpaced capacity, and Johnson must decide which orders to fill. The company makes three product types, with per unit requirements and profit shown below. Product Type Steel (lbs) Copper (lbs) Labor (hours) Profit Small Motor 1 2 0.5 $20 Medium Motor 2 6 1.0 $40 Large Motor 6 12 1.5 $80 Total demand is 1,000 units of each type, while resources are limited to 5,000 lbs of steel, 11,000 lbs of copper, and 2,000 hours of labor. Johnson must determine how many products of each type to produce to maximize profit. We will solve this problem with Linear Programming, using the following variables: x1 represents the number of type Small Motor produced, x2 represents the number of type Medium Motor produced, x3 represents the number of type Large Motor produced. 1. Write down the LP objective. 2. Write down the LP constraints for this problem. A preliminary setup for this linear program is contained in the file "shellquiz2.xls". Complete the spreadsheet model to solve this optimization problem. 3. Write down the formula for the objective function that should go in cell K9. 4. Write down the formula for the Solver constraint that limits the resource capacities.
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