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Please, could you explain to me how to solve the attached question using SOLVER (Simplex method - Linear Programming) in EXCEL? The beginning of the

Please, could you explain to me how to solve the attached question using SOLVER (Simplex method - Linear Programming) in EXCEL?

The beginning of the exercise is: Hoosier Power needs to determine a capacity expansion plan to meet Bloomington's power needs for the next 20 years.......

Thanks.

Attached: Question and file mentioned in the question (Ch 6_87 from Practical Management Science 5th Ed)

image text in transcribed
next 20 years. The cturent capacity is 5000 kwh. The demand fer the current year is 4000 Itwh.r and demand is expected te increase by 1000 kwh in each suc ceeding year. At the beginning cf each year, Hccsier Pcwer must determine the amcunt cf capacity tc add, giyen the fclIcwing inputs: I Any year in which capacity is added. a iii-ted ccst cf $120,000 is incurred plus a ccst cf $120 per kwh ef capacity. I At mcst 10,000 kwh cf capacity can he added in a single year. I It ccsts $25 per year he maintain a unit cf capacity. I It ccsts $12 per year tc produce a kwh. I If preducticn does net meet demand, a sheriage ccst cf $80 per kwh shcrt is incurred. Deyeiep a linear integer medel tc help Hecsier Fewer minimize its ccsts fer the next 20 years

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