The U.S. government is auctioning off oil leases at twosites: 1 and 2. At each site, 100,000 acres of land are to beauctioned. Cliff Ewing, Blake Barnes, and Alexis Pickens arebidding for the oil. Government rules state that no bidder canreceive more than 40% of the land being auctioned. Cliff hasbid $1,000/acre for site 1 land and $2,000/acre for site 2 land.Blake has bid $900/acre for site 1 land and $2,200/acre for site2 land. Alexis has bid $1,100/acre for site 1 land and$1,900/acre for site 2 land. Formulate a balanced transportationmodel to maximize the government’s revenue.

The U.S. government is auctioning off oil leases at twosites: 1 and 2. At each site, 100,000 acres of land are to beauctioned. Cliff Ewing, Blake Barnes, and Alexis Pickens arebidding for the oil. Government rules state that no bidder canreceive more than 40% of the land being auctioned. Cliff hasbid $1,000/acre for site 1 land and $2,000/acre for site 2 land.Blake has bid $900/acre for site 1 land and $2,200/acre for site2 land. Alexis has bid $1,100/acre for site 1 land and$1,900/acre for site 2 land. Formulate a balanced transportationmodel to maximize the government’s revenue.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section: Chapter Questions

Problem 36P

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