Quiz_1A_2023FA_Solution

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University of Houston *

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6372

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Mathematics

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Jan 9, 2024

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docx

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Online Quiz 1A, INDE6372 Sept., 21, 2023 (Thursday): 8:00-9:30PM Question 1: Chandler Oil Company has 5,000 barrels of oil 1 and 10,000 barrels of oil 2. The company sells two products: gasoline and heating oil. Both products are produced by combining oil 1 and oil 2. The quality level of each oil is as follows: oil 1: 10; oil 2: 5. Gasoline must have an average quality level of at least 8, and heating oil at least 6. Demand for each product must be created by advertising. Each dollar spent advertising gasoline creates 5 barrels of demand and each spent on heating oil creates 10 barrels of demand. Gasoline is sold for $25 per barrel, heating oil for $20. Formulate an LP to help Chandler maximize profit. Assume that no oil of either type can be purchased. Sample solution: Let xij = barrels of oil i used to make product j (j = 1 is gasoline and j = 2 is heating oil) ai = dollars spent advertising product i max z = 25(x11 + x21) + 20(x12 + x22) - a1 - a2 s.t. x11 + x21 = 5a1, x12 + x22 = 10a2, Demand constraints 2x11 - 3x21 0; 4x12 - x22 0; Composition constraints x11 + x12 5000; x21 + x22 10,000; Constraints on crude oil; All variables 0
Question 2: Solve the following linear optimization problem using the primal simplex method. Min 2 x 1 x 2 + x 3 s .t . 3 x 1 + x 2 + 2 x 3 60 ; x 1 x 2 + 2 x 3 10 ; x 1 + x 2 x 3 20 ; x 1 , x 2 , x 3 0. Note that, you can submit your solution in excel file. However, you need to include the detailed steps in the simplex algorithm for solving the LO problem. The initial tableau for the min LO is: Based on the above tableau, x2 enters the basis and s3 leaves the basis. Perform the pivot, we obtain: The optimal solution is x2=20, Z=-20. Z -2 1 -1 0 0 0 S1 3 1 2 1 0 0 60 S2 1 -1 2 0 1 0 10 S3 1 1 -1 0 0 1 20 Z -3 0 0 0 0 -1 -20 S1 2 0 3 1 0 -1 40 S2 2 0 1 0 1 1 30 X2 1 1 -1 0 0 1 20
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