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Problem 1 : This report presents the result of a linear program to determine the optimal product mix between four possible products, Gears A ,
Problem :
This report presents the result of a linear program to determine the optimal product mix between four
possible products, Gears A B C and D which are proposed to be made using the following resources:
Drilling Hours, Milling Hours, Lathe Hours and Inspection Hours. The coefficients of the objective
function represent the profit to be made from the manufacture of each type of gear.
a What is the profit represented by the objective function?
b What is the production plan shown by this sensitivity report?
c Which constraints are binding? Which are nonbinding?
d What is the range over which the OFC associated with Gear C can change without changing the
production plan indicated by this sensitivity report?
e What is the range over which the quantity of Lathe Hours could change without changing the
combination of binding constraints?
f Does this sensitivity report indicate the presence of multiple optima? How do you know?
g After the production, how many hours remain in the Milling department?
h After the production, how many hours remain in the Drilling department?
i What would be the impact to the production plan and profit if the A were to change to
$
j What would be the impact to the production plan and profit if the were to increase by
$
k What would be the impact to the production plan and profit if the were to change to
$
What would be the impact to the production plan and profit if the were to increase by
$
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