Assignment One Quantitative Analysis For Management Decisions

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ASSIGNMENT ONE QUANTITATIVE ANALYSIS FOR MANAGEMENT DECISIONS

1. A workshop prepared two articles A and B .The time required at different stages
and profit per unit are shown below. Formulate the LP model

Work
Cutting Machine Packing Profit per unit($)
center product

A 2 1 1 50
B 1 2 0.5 60
Total capacity 80 100 50

2. A farmer use his land to produce rice and wheat .Labor required per acre and
profit per acre given below. Formulate the LP model

Labor per Profit per


Community Allocated area in acres
acre(hrs) acre($)

Rice X 2 100
Wheat Y 3/2 60
Total 200 300

3. A company produces two types of container K and L. Each product has resource
requirements and profit contribution as follows:

Resource K L Total resource available

Material(Kg/unit) 1 2 10Kg
Labor(Hr/unit) 6 6 36Hr
Profit 4 5

In addition, because of demand, a maximum of 4 units of container K units of be


produced. Obtain the optimal solution using graphical method.
4. Personal Mini Warehouses is planning to expand its successful Orlando business into Tampa.
In doing so, the company must determine how many storage rooms of each size to build. Its
objective and constrains follow:
Maximize monthly earnings= 50X1 +20X2
Subject to:
2X1+4X2<400 (Advertising budget available)
100X1 +50X2<8,000(Square footage required)
X1 <60(Rental limit expected)
X1 X2>0
Where
X1=Number of large spaces developed
X2=Number of large spaces developed
(Use both Graphical and Simplex Methods)
5. A company produces P, Q and R from three raw materials A, B and C. One unit of P
requires 2 units of A and 3 of B .Product Q requires 2 units of B and 5 of C. one unit of R
requires 3 units of A, 2 units of B and 4 units of C. Company has 8 units of material A, 10
units of material B and 15 units of material C available to it. Profit per unit of products
P, Q and R are $3, $5 and $4 respectively.
a. Formulate the problem mathematically
b. How many units of each product should be produced to maximize profit?
c. Write the DUAL problem
6.The 3rd and final simplex tableau for the LPP is:
Max.Z= 200x1+200x2
St:
2x1+x2 < 8
x1+3x2 <9
x1, x2 > 0

Cj $200 $200 $0 $0

SV X1 X2 S1 S2 Q

$200 X1 1 0 3/5 -1/5 3

250 X2 0 1 -1/5 2/5 2

Zj $200 $200 $80 $40 $1,000


Cj - Zj 0 0 -$80 -$40
What are the solutions of the dual variables, u1, u2 and u3? What is the optimal dual cost?
7. Consider that Harley's Sand & Gravel Pit has contracted to provide topsoil for three
residential housing developments. Topsoil can be supplied form three different “farms"
as follows:
_______________________________________________________________
Weekly Capacity
Farm (Cubic Yards)
A 100
B 200
C 200
_________________________________________________________________

Demand for the topsoil generated by the construction projects is:


_____________________________________________________________
Weekly Demand
Project (Cubic Yards)
1 50
2 150
3 300
_______________________________________________________________

The manager of the sand & gravel pit has estimated the cost per cubic yard to ship over each of
the possible routes:
_______________________________________________________________
Costs per cubic yard to
From Project # 1 Project #2 Project #3
Farm A $4 $2 $8
Farm B 5 1 9
Farm C 7 6 3

_______________________________________________________________

Required
a. Develop the initial feasible solution using NWCM and VAM & compute the total cost
for each method this solution.
b. Find the optimal solution

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