WHAT IS THE NEW TOTAL VALUE? A garden store prepares various grades of pine bark for mulch: nuggets (x1), mini-nuggets (x2), and chips (x3). The process requires pine bark, machine time, labor time, and storage space. The following model has been developed.   Maximize 9x1 + 9x2+ 6x3  (profit) Subject to      Bark 5x1 + 6x2 + 3x3 ≤ 600 pounds Machine 2x1 + 4x2 + 5x3 ≤ 600 minutes Labor 2x1 + 4x2 + 3x3 ≤ 480 hours Storage 1x1 + 1x2 + 1x3 ≤ 150 bags   x1, x2, x3 ≥ 0     What is the new value of the objective function, if the profit on chips increases from $6 per bag to $7 per bag?  The New Value Is=

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Optimization Models

Optimization models are mathematical models that help organizations determine the best way to allocate scarce resources to achieve specific objectives. These models can be used to solve a wide variety of problems, from finding the most efficient route for a delivery truck to determining the optimal mix of products to stock in a store.