LINEAR PROGRAMMING

A company produces two different products namely the Coral and Shell. Both products require processing in the machining and finishing department.

	coral	shell
Contribution per unit	$2	$2,50
Machining time required per unit (Minutes)	6	12
Finishing time required per unit (Minutes)	10	6
Raw material (Silica) required per unit (Kg)	-	3

Additional information:

1. The daily capacities of each department are 1 200 minutes each.

2. Silica, the raw material required in the production of Shell, is a scarce resource and is limited to 270kg per day.

3. The demand for Coral and Shell are unlimited.

Required:

1) By making use of linear programming techniques, specify the product mix that will maximise daily contribution.

2) Illustrate how mathematical models assists in operations decision making.