T Standard number of units profit constraints Cutting & dyeing Sewing Finishing Inspection and packaging

N deluxe

539.9984 252.0011 10 9 7667.994 0.7 0.5 1 0.1 1 630 <= 0.8333 479.9917 <= 0.66667 708 <= 0.25 117.0001 <=
LHS SIGN RHS

630 600 708 135

maximize Z= 10s+9d

.7s+d<=630 .5s+.833d<=600 s+.66667d<=708 .10s+.25d<=135

Part B
Step 1: Use the formulated problem as in part A with the profit and constraint coefficients to set up Excel sheet Step 2

Setting up the worksheet Key in profit coefficient per product type in range B4:c4 using the range B6:c9 Use sum product formula in range d6: d9 similar to cell d4 to compute usage on the LHS
Using RHS constraint values for Part A formulation, Key in these RHS values in range F6: F9

key in the LHS constraint coefficients in terms of Decision variables, for example variable "x1" or "b" has a coefficient o

Key in range for Decision variables b3: c3( leave the cells empty or type in zeros) (Solver will get the values for you
In cell d4 use formula Excel to compute total return ( the sumproduct is useful here)

Step 3: Instructing Solver( please ensure that you have solver added in or go to Tools, Add-ins to add solver)
Click the Tools menu and click Solver.

The Solver Parameters window will appear with the cursor located in the window
to the right of Set Target Cell.

Click on cell D4 to make this the target cell, the target total return. In the next
row Check that to the right of Equal To:, the button indicating MAX is selected. Under "By Changing Cells" type B3:c3( this represents the decision variables for which values are needed )

Click the Add button to the right of Subject to the Constraints, which brings

up the Add Constraint window. With the cursor in the Cell Reference window

To add a whole constraint range, click cells F8 to F14(holding down and dragging cursor from F8 to F14) to select the the whole

After adding the constraints click Ok You return to the Solver Parameters window and observe that there are entries under
Subject to the Constraints.

Click the Options button to the right of the window, and click Assume Linear Model and Assume Non-Negative, then OK. Back in the Solver Parameters window click the Solve button on the top right of the window. The solution will appear in the worksheet.

The Solver Results window appears. Click OK to retain the solution after selecting the answer report and sensitivity report

to set up Excel sheet

x1" or "b" has a coefficient of 2 is written 2x1 or 2b

will get the values for you)

s, Add-ins to add solver)

Par, Inc., is a small manufacturer of golf equipment and supplies whose decided to move into the market for medium- and high enthusiastic about the new product line and has agreed to buy all the g over the next three months. After a thorough investigation of the steps involved in manufacturing a determined that each golf bag produced will require the following ope 1. Cutting and dyeing the material, 2. Sewing,3. Finishing (inserting um Inspection and packaging The director of manufacturing analyzed each of the operations and con the company produces a medium-priced standard model, each bag wil the cutting and dyeing department, 1/2 hour in the sewing departmen department, and 1/10 hour in the inspection and packaging departmen deluxe model will require 1 hour for cutting and dyeing, 5/6 hour for se for inspection and packaging. Pars production is constrained by a limited number of hours available After studying departmental workload projections, the director of man

Pars production is constrained by a limited number of hours available After studying departmental workload projections, the director of man estimates that 630 hours for cutting and dyeing, 600 hours for on H8 a o F14) to select the the whole LHS range at once, then select <= in the window to the left, then select the range H8:H14 by clicking sewing, and 135 hours for inspection and packaging will be available for the pro bags during the next three months. The accounting department analyzed the production data, assigned all costs, and arrived at prices for both bags that will result in a profit cont and $9 for every deluxe bag produced.

a)Formulate a linear programming model for this problem. Solve the m the related template. 15 marks

report and sensitivity report

olf equipment and supplies whose management has and high-priced golf bags. Pars distributor is ine and has agreed to buy all the golf bags Par produces

steps involved in manufacturing a golf bag, management ced will require the following operations: Sewing,3. Finishing (inserting umbrella holder, club separators, etc.) 4.

ed each of the operations and concluded that if ced standard model, each bag will require 7/10 hour in 1/2 hour in the sewing department, 1 hour in the finishing pection and packaging department. The more expensive cutting and dyeing, 5/6 hour for sewing, 2/3 hour for finishing, and 14 hour

imited number of hours available in each department. d projections, the director of manufacturing

imited number of hours available in each department. d projections, the director of manufacturing and dyeing, 600by clicking sewing, 708 hours for finishing, the cursor to H14 then releasing range H8:H14 hours for on H8 and holding and dragging kaging will be available for the production of golf

d the production data, assigned all relevant variable bags that will result in a profit contribution1 of $10 for every standard bag

odel for this problem. Solve the model by using the computer. Please see

Microsoft Excel 12.0 Answer Report Worksheet: [Assignment 1 S1 2012-13 solutions.xls]Q 2 LP sensitivity (2) Report Created: 9/16/2012 1:05:22 PM Target Cell (Max) Cell Name Original Value Final Value $E$4 profit 0 16440

Adjustable Cells Cell Name $B$3 number of units Economy $C$3 number of units standard $D$3 number of units deluxe

Original Value Final Value 0 80 0 120 0 0

Constraints Cell Name $E$6 Fan motors $E$7 cooling coils $E$8 Manuf time

Cell Value Formula Status 200 $E$6<=$G$6 Binding 320 $E$7<=$G$7 Binding 2080 $E$8<=$G$8 Not Binding

Slack 0 0 320

Microsoft Excel 12.0 Sensitivity Report Worksheet: [Assignment 1 S1 2012-13 solutions.xls]Q 2 LP sensitivity (2) Report Created: 9/16/2012 1:05:22 PM Adjustable Cells Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$3 number of units Economy 80 0 63 12 15.5 $C$3 number of units standard 120 0 95 31 8 $D$3 number of units deluxe 0 -24 135 24 1E+30 Constraints Cell Name $E$6 Fan motors $E$7 cooling coils $E$8 Manuf time Final Shadow Constraint Allowable Allowable Value Price R.H. Side Increase Decrease 200 31 200 80 40 320 32 320 80 120 2080 0 2400 1E+30 320

T Economy standard number of units profit constraints Fan motors cooling coils Manuf time

N deluxe

80 63 1 1 8 95

120 135 1 2 12

0 16440 1 4 14
LHS

200 <= 320 <= 2080 <=

200 320 2400

a) The optimal solution therefore is the best decision that yield the optimal value (profit). For this problem th standard.(2 marks)

b)) Fan motors and cooling fan are binding, manuf time show extra capacity of 320 hours available.

c) the question is asking about the constraints since labour time is constraint. Given that manufacturing time i profitable to use more manufacturing time

Note An increase/decrease in the ranges for the objective (which means that one is within the range allowed) change, but the optimal values of the basic variables may/may not change. (3 marks)

d)This question is obviously asking you about information in the Adjustable Cells part of the Sensitivity Report. F allowable increase is $24 and the range is from negative infinity to 159, and therefore 150 is within the range w Note An increase/decrease in the ranges for the objective (which means that one is within the range allowed) change, but the optimal values of the basic variables may/may not change. (3 marks) e)

f) The question is obviously asking about constraints. This is so because the number of fan motors is a limitatio of the Sensitivity Report, the allowable increase is 80 and the allowable decrease is 40. This means that will need to be resolved . (3 marks)

g) The question is obviously asking about constraints because cooling coil is a constraint. The constraint the allowable increase is 80 and the allowable decrease is 120 . i) The valid range s is (320+80+320

h)A problem is degenerate when the number of constraints is not equal to the number of POSITIVE VARIABLES. then the number of positive variables. Finding the number of constraints is easy. You simply look at the constrain positive variables(3) is found from the positive values of the adjustable cells and the positive values of the slack variables(3) and hence the problem is not degenerate.(2 marks)

i)Alternative Optima is usually found in the adjustable cell part of the printout. One can identify Alternative Opti for this problem there is no alternative optima. Answer: There are no alternative optima. A variable in the adjustable cell will have both a Final Value and a Re J)The value in the slack column is 320( 2400-2080)

a) What is the optimal solution and what is the value of the objective function (2 ma b) Which constraints are binding and which constraint show extra capacity? 2 mark c)

100 hours of manufacturing time became available .Evaluate the effect? Explai marks) d) The profit per unit for deluxe model was increased to 150 per unit. Evaluate the e marks) e) . Identify the range of optimality for each objective function coefficient (unit prof Suppose the profit for the economy model is increased by $6 per unit, the profit fo standard model is decreased by $2 per unit, and the profit for the deluxe model is increased by $4 per unit. ( use the 100% rule)What will be the new optimal soluti 3 marks

f)

If the number of fan motors available for production is increased by 100, evaluate effect. 2 marks

g) What are the allowable values within the number of cooling coils can vary witho affecting the shadow price?- (2 marks) h) Is the problem degenerate? Explain! (2 marks) i) Are there alternative optima in this problem? Explain (2 marks) j) What value should be in the slack column that is given by ???? (1 mark)

e (profit). For this problem the Optimal Solution is to make 80 units economy, 120 units

0 hours available.

Quality Air Conditioning manufactures th an economy model, a standard model, an profits per unit are $63, $95, and $135, r The production requirements per unit ar

n that manufacturing time is not binding(shadow price is zero), then it is not

is within the range allowed) means that the BASIS( optimal product mix) will NOT

Answer the following questions (a brief. If there are two possible answers o necessary a range analysis must be show

rt of the Sensitivity Report. For deluxe model , the current profit is 135. The 150 is within the range which means the optimal solution will not change. is within the range allowed) means that the BASIS( optimal product mix) will NOT

er of fan motors is a limitation . The constraint is binding. Based on the constraint part . This means that an increase of 100 is outside the range of validity. The problem

constraint is binding . Based on the constraint part of the Sensitivity Report, s is (320+80+320-120)

mber of POSITIVE VARIABLES. You do this by counting the number of constraints and ou simply look at the constraint part of the printout and count them. The number of e positive values of the slack . Hence the number of constraints(3)= number of positive

can identify Alternative Optima when both the Final Value and the Reduced Cost are 0.

e both a Final Value and a Reduced cost of O.( 1 mark)

objective function (2 marks) w extra capacity? 2 marks

valuate the effect? Explain-( 2

0 per unit. Evaluate the effect (2

tion coefficient (unit profit). y $6 per unit, the profit for the t for the deluxe model is be the new optimal solution be?

ncreased by 100, evaluate the

ling coils can vary without

marks) y ???? (1 mark)

Air Conditioning manufactures three home air conditioners: nomy model, a standard model, and a deluxe model. The per unit are $63, $95, and $135, respectively. oduction requirements per unit are as follows:

r the following questions (a-i) using the output below please be there are two possible answers one will suffice. Where ary a range analysis must be shown.

model E S D

profit change 63 Increase 6$ 95 decrease $2 135 Increase $4

because changes are 92 % of allowable (<100) changes , S=120, D=0 will not change. The change in total profit will be E 80 units @ +6=480 S 120units @ -2=-240 240 profit=16440+240=16680

% 6/12(100)=50 2/8(100)=25 4/24(100)=17 92 f allowable (<100) changes , the optimal solution of E = 80,

allowable 75-63=12 95-87=8 159-135=24

T Economy standard number of units profit constraints Fan motors cooling coils Manuf time

N deluxe

63 1 1 8

95 1 2 1

135 1 4 14
LHS

0 0 <= 0 <= 0 <=

200 320 2400

Quality Air Condi deluxe model. Th The production r

Answer the follow one will suffice. W

Quality Air Conditioning manufactures three home air conditioners: an economy model, a standard model, and a deluxe model. The profits per unit are $63, $95, and $135, respectively. The production requirements per unit are as follows: Answer the following questions (a-i) using the output below please be brief. If there are two possible answers one will suffice. Where necessary a range analysis must be shown.

andard model, and a

possible answers

Probability
cum prob

0.04 0.08 0.28 0.4 0.16 0.02 0.02

0 0.04 0.12 0.4 0.8 0.96 0.98

Daily Demand (units) 0 1 2 3 4 5 6

RN mapping 00-.03 .04-.11 .12-.39 .40-.79 80-95 96-97 98-99

month
month

OI
OI

UR
U rcd

AI
A In

RN
RN

D
D

DF
DF

EI
EI

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

5 5 0 3 1 0 3 0 0 3 0 3 1 4 1 4 1 3 0 3

0 0 5 0 0 5 0 0 5 0 5 0 5 0 5 0 5 0 5 0

5 5 5 3 1 5 3 0 5 3 5 3 6 4 6 4 6 3 5 3

0.03 0.97 0.16 0.12 0.55 0.16 0.84 0.63 0.33 0.57 0.18 0.26 0.23 0.52 0.37 0.7 0.56 0.99 0.16 0.31

0 5 2 2 3 2 4 3 2 3 2 2 2 3 2 3 3 6 2 2

0 5 2 2 1 2 3 0 2 3 2 2 2 3 2 3 3 3 2 2

5 0 3 1 0 3 0 0 3 0 3 1 4 1 4 1 3 0 3 1

Demand Probability per Month 0 0.04 1 2 3 4 5 6 0.08 0.28 0.4 0.16 0.02 0.02 1

Time to Receive an Probabili Order (mo.) ty 1 0.6 2 3 0.3 0.1 1 Day Demand

demand lead time

3 47

1 0.57

2 0.59

Random Numbers To Be Used in the Simula 3 4 0.84 0.19

Demand Probability per Month 0 0.04 1 0.08 2 0.28 3 0.4 4 0.16 5 0.02

0.02 1

see furniture depot example

Probability
cum Lead time days mapping RN

0.6 0.3 0.1

0 0.6 0.9 1

1 2 3

00-.59 .60-89 .90-.99

Sound Warehou Japan. Because takes to receive CD players. It co for a CD player a warehouse. If a one comes in bu has been determ

The warehouse Simulate Sound numbers . Comp

SO
SO

order
0 0 0 0 2 0 1 3 0 0 0 0 0 0 0 0 0 3 0 0 yes yes

RN
47 74

leadtime IC
1 2

SOC OC
100 0 100 0 0 100 0 0 100 0 100 0 100 0 100 0 100 0 100 0

TC
300 0 220 40 800 220 400 1200 220 0 220 40 260 40 260 40 220 1200 220 40 5,940.00 297.00

yes

76

yes yes yes yes yes yes

56 22 42 1 21 60

1 1 1 1 1 2

200 0 0 0 120 0 40 0 0 800 120 0 0 400 0 1200 120 0 0 0 120 0 40 0 160 0 40 0 160 0 40 0 120 0 0 1200 120 0 40 0

average cost

Random Numbers To Be Used in the Simulation 1 2 3 4 5 6 0.57 0.59 0.84 0.19 0.82 0.9

7 0.02

8 9 10 0.1 0.8 0.8

97 74

16 76

12 56

55 22

16 42

84 1

63 21

33 60

57

18

26

To Be Used in the Simulation 5 0.82 6 0.9 7 8 0.02 0.11 9 0.81 10 0.84

Sound Warehouse in Georgetown sells CD players (with speakers), which it orders from Fuji Electronics in Japan. Because of shipping and handling costs, each order must be for five CD players. Because of the time it takes to receive an order, the warehouse outlet places an order every time the present stock drops to five CD players. It costs $100 to place an order. It costs the warehouse $400 in lost sales when a customer asks for a CD player and the warehouse is out of stock. It costs $40 to keep each CD player stored in the warehouse. If a customer cannot purchase a CD player when it is requested, the customer will not wait until one comes in but will go to a competitor. The following probability distribution for demand for CD players has been determined: The warehouse has five CD players in stock. Orders are always received at the beginning of the week. Simulate Sound Warehouse's ordering and sales policy for 20 months, using the first column of random numbers . Compute the average monthly cost.

23

52

37

70

56

99

16

31

68

74

27

the time it

wait until

The coordinator of the summer program in the Faculty of social at the University of the west indies is of the opinion that the staff is being overworked during the months leading up to thecommencemen tof the summer program. The Faculty empoyed the services of CWD consultants . The consultants provided data on services times and customer arrivals, with corresponding service times and probabilioties in the table below.

service and customer time arrivals time service between time prob arivals prob Random numbers Random numbers 0.00 0.00 0.00 0.10 0.50 0.52

1 2 3 4

0.25 0.2 0.4 0.15

0.28 0.68 0.36 0.90 0.62 0.27 0.50 0.18 0.36 0.61 0.21 0.46 0.01 0.14

1 2 3 4 5

0.35 0.25 0.15 0.1 0.05

0.37 0.82 0.69 0.98 0.96 0.33 0.50 0.88 0.90 0.50 0.27 0.45 0.81 0.66

time between cum RN arivals prob distribution mapping 0.00 0.10 0.10 .00-.09

service time prob 0.00

cum distrib 0.00 0.00

1 2 3 4 5

0.35 0.25 0.15 0.1 0.05

0.45 0.70 0.85 0.95 1.00

.10-.44 .45-.69 .70-.84 .85-.94 .95-.99

1 2 3 4

0.25 0.2 0.4 0.15

0.25 0.45 0.85 1.00

customer RN

Time between Arrival arrival time

Begin service

wait for service

RN

service

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

0.52 0.37 0.82 0.69 0.98 0.96 0.33 0.50 0.88 0.90 0.50 0.27 0.45 0.81 0.66

2 1 3 2 5 5 1 2 4 4 2 1 2 3 2

2 3 6 8 13 18 19 21 25 29 31 32 34 37 39

2 5 7 10 13 18 21 23 26 29 31 34 35 38 39

totals average percent server busy

0 2 1 2 0 0 2 2 1 0 0 2 1 1 0 14
0.933333

0.50 0.28 0.68 0.36 0.90 0.62 0.27 0.50 0.18 0.36 0.61 0.21 0.46 0.01 0.14

3 2 3 2 4 3 2 3 1 2 3 1 3 1 1 34 0.85

RN mapping

.00-.00

.00-.24 .25-.44 .45-.84 .85-.99

end service

time in system

5 7 10 12 17 21 23 26 27 31 34 35 38 39 40

3 4 4 4 4 3 4 5 2 2 3 3 4 2 1 48
3.2