ACA Company

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School

University of North Carolina, Charlotte *

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Course

6122

Subject

Industrial Engineering

Date

Apr 3, 2024

Type

xlsx

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6

Uploaded by BailiffWorldKangaroo46

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Profit Maximization Problem Optimal annual profit for ACA b) What is the optimal annual profit for ACA? Subcompact Note: All the numbers in this section were pasted as values x1 620,000 Capacity Constrains x1 + x2+ x3 + x4 + y1+ y2 1 x1 + x2 1 x3 + x4 0 y1 + y2 0 Mark Strategy x1 + x2 ≥ 0.5(x1 + x2+ x3 + x4) 1 Fuel Average 40 Proft Margin 150 Subcompact x1 620,000 Capacity Constrains x1 + x2+ x3 + x4 + y1+ y2 1 x1 + x2 1 x3 + x4 0 y1 + y2 0 Mark Strategy x1 + x2 ≥ 0.5(x1 + x2+ x3 + x4) 1 Fuel Average 40 Proft Margin 150 c) How much would the annual profit drop if the fuel efficiency requirement were raised to 28 MPG?
≥ Compact Intermediate Luxury Truck Van x2 x3 x4 y1 y2 0 0 350,000 230,000 0 LHS 1 1 1 1 1 1,200,000 1 0 0 0 0 564,286 0 1 1 0 0 360,714 0 0 0 1 1 275,000 1 -1 -1 0 0 203,571 34 15 12 20 25 0 225 250 500 400 200 Total Profit 375,000,000 Obj Function Compact Intermediate Luxury Truck Van x2 x3 x4 y1 y2 0 0 349,997 230,004 0 LHS 1 1 1 1 1 1,200,000 1 0 0 0 0 620,000 0 1 1 0 0 349,997 0 0 0 1 1 230,004 1 -1 -1 0 0 270,004 34 15 12 20 25 28 225 250 500 400 200 Total Profit 359,999,650 Obj Function 15,000,350
RHS ≤ 1,200,000 ≤ 620,000 ≤ 400,000 ≤ 275,000 ≥ 0 ≥ 27 RHS ≤ 1,200,000 ≤ 620,000 ≤ 400,000 ≤ 275,000 ≥ 0 ≥ 28 a) Formulate the LP program a MAX = 150 x1 + 225x2+ 250x3 + 50 S.T x1 + x2+ x3 + x4 + y1+ y2 ≤ 1,2 Capacity constraints x1 + x2 ≤ 620,000 x3 + x4 ≤ 400,000 y1+ y2 ≤ 275,000 Market Mix - marketing strategy pu x1 + x2 ≥ 0.5(x1 + x2+ x3 + x4) Average Fuel Efficiency Contraint
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