Question
Question 1 The management of CDC Construction Pioneers have decided to build 900 new apartments in the Okponglo area due to the influx of immigrant
Question 1 The management of CDC Construction Pioneers have decided to build 900 new apartments in the Okponglo area due to the influx of immigrant workers into the country. Two Architectural Companies have provided building plans and technical schematics for the project. Management are happy with the proposals of both Standard apartment and Deluxe apartment. After investigating the steps involved in construction, management determined that each apartment complex built will require some resources. Management analysed each of the bids and concluded that if the plans of Standard apartment are built, it require 7/10 days in foundation works, days in the masonry, 1 day in finishing, and 1/10 days in painting works. Deluxe apartment will require 1 day in foundation works, 5/6 days in the masonry, 2/3 days in finishing, and days in the painting works. Management estimate that, 630 days for foundation works, 600 days for masonry, 708 days for finishing and 135 days for painting works will be available to build the apartments. The company accountant assigned all relevant variable costs and arrived at a rent that will result in a daily profit contribution of Gh 10 for every Standard apartment and Gh 9 for every Deluxe apartment built. Management wants to know how many Standard apartments and Deluxe apartments to construct. Using the information in question 1, answer the following: a) Find the optimal solution and the objective function value (10Marks) b) Which resource (s) is/are effectively used at the optimal? Justify (10Marks) a) Which constraint(s) is/ are non-binding? Justify (5Marks)
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