1. Explain your observations about the optimal solution returned by the Solver.  2. If the company has budget to increase the total capacity by 1,000 units, at which plant would you recommend them to expand? What would be total cost savings (i.e., potentially more reduction in the total costs) with this expansion? Refer to the sensitivity report and explain your answer. (Copy and paste the constraints section of the sensitivity report here.) 3. Suppose that the Atlanta plant had to reduce capacity by 1,000 units to repair and renovate. How much would this cause the total (optimized) transportation costs to increase? Refer to the sensitivity report and explain your answer. All i need is help with explaing these answers using the sensitivy reports and answer reports.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter14: Data Mining
Section14.2: Classification Methods
Problem 11P
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1. Explain your observations about the optimal solution returned by the Solver. 

2. If the company has budget to increase the total capacity by 1,000 units, at which plant would you recommend them to expand? What would be total cost savings (i.e., potentially more reduction in the total costs) with this expansion? Refer to the sensitivity report and explain your answer. (Copy and paste the constraints section of the sensitivity report here.)

3. Suppose that the Atlanta plant had to reduce capacity by 1,000 units to repair and renovate. How much would this cause the total (optimized) transportation costs to increase? Refer to the sensitivity report and explain your answer.

All i need is help with explaing these answers using the sensitivy reports and answer reports.

MErosoft Excel 16.55 Answer Report
Worksheet: [Q1_template-2.xlsm]data and model
Report Created: 12/14/21 5:18:27 PM
Result: Solver found a solution. All constraints and optimality conditions are satisfied.
Solver Engine
Engine: Simplex LP
Solution Time: 9997.253 Seconds.
Iterations: 10 Subproblems: 0
Solver Options
Max Time Unlimited, Iterations Unlimited, Precision 0.000001
Max Subproblems Unlimited, Max Integer Sols Unlimited, Integer Tolerance 1%, Solve Without Integer Constraints, Assume NonNegative
Objective Cell (Min)
Cell
Name
Original Value
Final Value
$G$16 Los Angeles Minimize total shipment costs
$0
$86,800
Variable Cells
Cell
Name
Original Value
Final Value
Integer
0.0 Contin
$B$16 Los Angeles East
$$16 Los Angeles Midwest
$D$16 Los Angeles South
ŞE$16 Los Angeles West
0.0
0.0 Contin
0.0
0.0 Contin
0.0
10,000.0 Contin
$B$17 Atlanta East
0.0
0.0 Contin
$C$17 Atlanta Midwest
0.0
3,000.0 Contin
$D$17 Atlanta South
0.0
6,000.0 Contin
$E$17 Atlanta West
0.0
3,000.0 Contin
$B$18 New York City East
0.0
9,000.0 Contin
$C$18 New York City Midwest
$D$18 New York City South
0.0
3,000.0 Contin
0.0
0.0 Contin
$E$18 New York City West
0.0
0.0 Contin
Constraints
Cell
Name
Cell Value
Formula
Status
Slack
$B$23 East Total received
9,000.0 $B$23>=$D$23 Binding
6,000.0 $B$24>=$D$24 Binding
6,000.0 $B$25>=$D$25 Binding
13,000.0 $B$26>=$D$26 Binding
10,000.0 $B$30<=$D$30 Binding
12,000.0 $B$31<=$D$31 Binding
12,000.0 $B$32<=$D$32 Not Binding
0.0
$B$24 Midwest Total received
0.0
$B$25 South Total received
0.0
$B$26 West Total received
0.0
$B$30 Los Angeles Total Shipped
$B$31 Atlanta Total Shipped
$B$32 New York City Total Shipped
2000
$B$16 Los Angeles East
$C$16 Los Angeles Midwest
$D$16 Los Angeles South
$B$16>=0
Binding
Binding
Binding
0.0
0.0 $C$16>=0
0.0
0.0 $D$16>=0
0.0
SE$16 Los Angeles West
$B$17 Atlanta East
10,000.0 ŞE$16>=0
0.0 $B$17>=0
3,000.0 $C$17>=0
Not Binding 10,000.0
Binding
0.0
$C$17 Atlanta Midwest
Not Binding
3,000.0
$D$17 Atlanta South
6,000.0 $D$17>=0
Not Binding
6,000.0
$E$17 Atlanta West
3,000.0 $E$17>=0
Not Binding
3,000.0
9,000.0 $B$18>=0
3,000.0 $C$18>=0
$B$18 New York City East
Not Binding
9,000.0
$C$18 New York City Midwest
$D$18 New York City South
Not Binding
Binding
Binding
3,000.0
0.0 $D$18>=0
0.0
ŞE$18 New York City West
0.0 $E$18>=0
0.0
Transcribed Image Text:MErosoft Excel 16.55 Answer Report Worksheet: [Q1_template-2.xlsm]data and model Report Created: 12/14/21 5:18:27 PM Result: Solver found a solution. All constraints and optimality conditions are satisfied. Solver Engine Engine: Simplex LP Solution Time: 9997.253 Seconds. Iterations: 10 Subproblems: 0 Solver Options Max Time Unlimited, Iterations Unlimited, Precision 0.000001 Max Subproblems Unlimited, Max Integer Sols Unlimited, Integer Tolerance 1%, Solve Without Integer Constraints, Assume NonNegative Objective Cell (Min) Cell Name Original Value Final Value $G$16 Los Angeles Minimize total shipment costs $0 $86,800 Variable Cells Cell Name Original Value Final Value Integer 0.0 Contin $B$16 Los Angeles East $$16 Los Angeles Midwest $D$16 Los Angeles South ŞE$16 Los Angeles West 0.0 0.0 Contin 0.0 0.0 Contin 0.0 10,000.0 Contin $B$17 Atlanta East 0.0 0.0 Contin $C$17 Atlanta Midwest 0.0 3,000.0 Contin $D$17 Atlanta South 0.0 6,000.0 Contin $E$17 Atlanta West 0.0 3,000.0 Contin $B$18 New York City East 0.0 9,000.0 Contin $C$18 New York City Midwest $D$18 New York City South 0.0 3,000.0 Contin 0.0 0.0 Contin $E$18 New York City West 0.0 0.0 Contin Constraints Cell Name Cell Value Formula Status Slack $B$23 East Total received 9,000.0 $B$23>=$D$23 Binding 6,000.0 $B$24>=$D$24 Binding 6,000.0 $B$25>=$D$25 Binding 13,000.0 $B$26>=$D$26 Binding 10,000.0 $B$30<=$D$30 Binding 12,000.0 $B$31<=$D$31 Binding 12,000.0 $B$32<=$D$32 Not Binding 0.0 $B$24 Midwest Total received 0.0 $B$25 South Total received 0.0 $B$26 West Total received 0.0 $B$30 Los Angeles Total Shipped $B$31 Atlanta Total Shipped $B$32 New York City Total Shipped 2000 $B$16 Los Angeles East $C$16 Los Angeles Midwest $D$16 Los Angeles South $B$16>=0 Binding Binding Binding 0.0 0.0 $C$16>=0 0.0 0.0 $D$16>=0 0.0 SE$16 Los Angeles West $B$17 Atlanta East 10,000.0 ŞE$16>=0 0.0 $B$17>=0 3,000.0 $C$17>=0 Not Binding 10,000.0 Binding 0.0 $C$17 Atlanta Midwest Not Binding 3,000.0 $D$17 Atlanta South 6,000.0 $D$17>=0 Not Binding 6,000.0 $E$17 Atlanta West 3,000.0 $E$17>=0 Not Binding 3,000.0 9,000.0 $B$18>=0 3,000.0 $C$18>=0 $B$18 New York City East Not Binding 9,000.0 $C$18 New York City Midwest $D$18 New York City South Not Binding Binding Binding 3,000.0 0.0 $D$18>=0 0.0 ŞE$18 New York City West 0.0 $E$18>=0 0.0
Mcrosoft Excel 16.55 Sensitivity Report
Worksheet: [Q1_template-2.xlsm]data and model
Report Created: 12/14/21 5:18:28 PM
Variable Cells
Final Reduced Objective Allowable Allowable
Cell
Name
Value
Cost
Coefficient Increase
Decrease
$B$16 Los Angeles East
$C$16 Los Angeles Midwest
$D$16 Los Angeles South
$E$16 Los Angeles West
$B$17 Atlanta East
5.6
5
1E+30
5.6
3.5
3.5
1E+30
3.5
5
4.2
1E+30
10000
2.2
3.1
1E+30
1.2
3.2
1E+30
1.2
$C$17 Atlanta Midwest
3000
2.6
0.5
0.1
$17 Atlanta South
6000
1.8
1
2.3
$E$17 Atlanta West
3000
4.8
0.1
3.1
$B$18 New York City East
$C$18 New York City Midwest
$D$18 New York City South
$E$18 New York City West
9000
2.5
1.2
2.5
3000
3.1
0.1
0.5
1
3.3
1E+30
0.1
5.4
1Е+30
0.1
Constraints
Final Shadow Constraint Allowable Allowable
Cell
Name
Value
Price
R.H. Side
Increase
Decrease
$B$23 East Total received
9000
2.5
9000
2000
9000
$B$24 Midwest Total received
6000
3.1
6000
2000
3000
$B$25 South Total received
6000
2.3
6000
2000
3000
$B$26 West Total received
13000
5.3
13000
2000
3000
$B$30 Los Angeles Total Shipped
$B$31 Atlanta Total Shipped
$B$32 New York City Total Shipped 12000
10000
-3.1
10000
3000
2000
12000
-0.5
12000
3000
2000
14000
1E+30
2000
Transcribed Image Text:Mcrosoft Excel 16.55 Sensitivity Report Worksheet: [Q1_template-2.xlsm]data and model Report Created: 12/14/21 5:18:28 PM Variable Cells Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$16 Los Angeles East $C$16 Los Angeles Midwest $D$16 Los Angeles South $E$16 Los Angeles West $B$17 Atlanta East 5.6 5 1E+30 5.6 3.5 3.5 1E+30 3.5 5 4.2 1E+30 10000 2.2 3.1 1E+30 1.2 3.2 1E+30 1.2 $C$17 Atlanta Midwest 3000 2.6 0.5 0.1 $17 Atlanta South 6000 1.8 1 2.3 $E$17 Atlanta West 3000 4.8 0.1 3.1 $B$18 New York City East $C$18 New York City Midwest $D$18 New York City South $E$18 New York City West 9000 2.5 1.2 2.5 3000 3.1 0.1 0.5 1 3.3 1E+30 0.1 5.4 1Е+30 0.1 Constraints Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease $B$23 East Total received 9000 2.5 9000 2000 9000 $B$24 Midwest Total received 6000 3.1 6000 2000 3000 $B$25 South Total received 6000 2.3 6000 2000 3000 $B$26 West Total received 13000 5.3 13000 2000 3000 $B$30 Los Angeles Total Shipped $B$31 Atlanta Total Shipped $B$32 New York City Total Shipped 12000 10000 -3.1 10000 3000 2000 12000 -0.5 12000 3000 2000 14000 1E+30 2000
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