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Oil is an independent oil dealer that has just entered the gasoline market. Their main goal is to produce regular, premium, and super rated gasoline

Oil is an independent oil dealer that has just entered the gasoline market. Their main goal is to produce regular, premium, and super rated gasoline out of their supply of 3 different types of crudes. Each crude has a specific price per gallon, a certain amount produced daily, and also contains a certain amount of ingredients X and Y according to the information below. The gasolines that are produced from these crudes have a daily demand and have regulations as to how much of Ingredient X and Y the can contain as detailed below. Given this information, design a daily production schedule that allows the oil dealer to blend their crudes to meet gasoline demand while minimizing costs.

Ing. X Ing. Y $/Gallon Produced Daily (Gallon)
Crude 1 40% 35% $0.80 350,000
Crude 2 20% 30% $0.60 250,000
Crude 3 55% 60% $0.40 200,000

Gasoline % Ing. X Ing Y. Demand (Gallons)
Regular At Least 35% 400,000
Premium At Most 45% 150,000
Super At MOst 50% 150,000

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