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Question 4, only part a! Provide a formulation. In addition to the required formulation, solve the IP and place the optimal solution and optimal value!
Question 4, only part a! Provide a formulation. In addition to the required formulation, solve the IP and place the optimal solution and optimal value!
4. Orrin Sage is opening a bicycle shop and considering his initial order of bicycles for the coming season. Orrin is considering two different suppliers of bikesHoosier Bikes and Albatross Imports. With either supplier, there will be costs associated with setting up the contract. He estimates this cost of being \$5,000 with Hoosier Bikes and \$6,000 with Albatross Imports. His entire budget for purchasing bikes is $50,000 (including cost of contracts). a. Formulate a linear program to help him maximize his profits. Use the following decision variables: fori=H,A,andj=K,M,C,R, xij : number bikes purchased from supplier i of type j; yi : binary variable of supplier i; i.e., yi=1 if Orrin signs a contract with Supplier i;yi=0, otherwiseStep by Step Solution
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