Finding the objective function: Contribution of Product 1 to Profit is = 15-3 ( 3 ) -2 ( 2 ) -1 ( 1 ) = $1 . Contribution of Product 2 to Profit = 25-4 ( 3 ) -3 ( 2 ) -2 ( 1 ) = $5 Thus firm wishes to maximize z = x 1 + 5 x 2 . Thus the LP for the problem is, Maximize, z =x 1 +5x 2 3x 1 +4x 2 ≤ 100

Question

Want to see the full answer?

Answer 1

Expert Solution & Answer

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Using Python/PuLP solve At the beginning of month 1, Finco has $400 in cash. At the beginning of months 1, 2, 3, and 4, Finco receives certain revenues, after which it pays bills (see Table 2 below). Any money left over may be invested for one month at the interest rate of 0.1% per month; for two months at 0.5% per month; for three months at 1% per month; or for four months at 2% per month. Use linear programming to determine an investment strategy that maximizes cash on hand at the beginning of month 5. Formulate an LP to maximize Finco’s profit. Table 2 Month Revenues ($) Bills ($) 1 400 600 2 800 500 3 300 500 4 300 250

A person is cutting a long board of wood into different length of pieces . Each cutting has fixed width 2 cm lengths. Given that each cutting with different length has a different price, Now, we are required to help this person to find the optimal cuts in order to increase his income. Consider following example showing different cut’s lengths and their equivalent prices. Input: board length = 4 Length [ ] = [1, 2, 3, 4, 5, 6, 7, 8] Price [ ] = [2, 6, 8, 10, 14, 17, 19, 20] Output: Best cut is two pieces of length 2 each to gain revenue of 6 + 6 = 12 [Explanation: the possible cuts and profit of each is as follows: As noted the best cut is two pieces of length 2 each to gain revenue of 6 + 6 = 12

A company produces two products on two machines. A unit of product 1 requires 2 hours on machine 1 and 1 hour on machine 2. For product 2, a unit requires 1 hour on machine 1 and 2 hours on machine 2. The revenues per unit of products 1 and 2 are $2 and $3, respectively. The total daily processing time available for machine 1 and 2 are 4 and 5 hours respectively. Letting and represent the daily number of units of products 1 and 2 respectively, (i)Construct the LP model to maximize profit. Obtain the optimum solution graphically by determining the number of units of each product to be produced in order to maximize the profit and at what value. If management decides to increase the daily capacity of machine 1 from 4 hours to 5 hours, locate the new optimum point. Compute and comment on the dual price and the feasibility range for machine 1.…

Answer 2

Expert Solution & Answer

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Expert Solution & Answer

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Expert Solution & Answer

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Expert Solution & Answer

Answer 6

Expert Solution & Answer

Answer 7

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Answer 8

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Answer 9

Chapter 6.8, Problem 6P

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Answer 10

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Answer 11

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 6.1 - Prob. 1P Ch. 6.1 - Prob. 2P Ch. 6.1 - Prob. 3P Ch. 6.1 - Prob. 4P Ch. 6.1 - Prob. 5P Ch. 6.2 - Prob. 1P Ch. 6.2 - Prob. 2P Ch. 6.3 - Prob. 1P Ch. 6.3 - Prob. 2P Ch. 6.3 - Prob. 3P

Solution Summary: The author explains the objective function of Product 1 and Product 2 to maximize profits. If purchased at 1 an extra unit of raw material increases profits by

Concept explainers

Explanation of Solution

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

Explanation of Solution

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab

Want to see the full answer?

Chapter 6 Solutions

Solution Summary: The author explains the objective function of Product 1 and Product 2 to maximize profits. If purchased at 1 an extra unit of raw material increases profits by

Concept explainers

Explanation of Solution

Finding the objective function: Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1. Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5 Thus firm wishes to maximize z=x1+5x2. Thus the LP for the problem is, Maximize, z =x1+5x2 3x1+4x2≤100

Explanation of Solution

b. Payment the company should make: The shadow price for both skilled and unskilled labour is 0. Both the labour constraints are nonbinding also. The company is not willing to pay $3 for another hour of skilled lab

Want to see the full answer?

Chapter 6 Solutions

Finding the objective function:

Contribution of Product 1 to Profit is = 15-3(3)-2 (2)-1(1)= $1.

Contribution of Product 2 to Profit = 25-4(3)-3(2)-2(1)= $5

Thus firm wishes to maximize z=x1+5x2.

Thus the LP for the problem is,

Maximize, z =x1+5x2

3x1+4x2≤100

b.

Payment the company should make:

The shadow price for both skilled and unskilled labour is 0.

Both the labour constraints are nonbinding also.

The company is not willing to pay $3 for another hour of skilled lab