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Quantitative Methods For Management-Exercise

This document contains reports from Microsoft Excel that analyze the optimization of a marketing budget allocation across different channels to maximize profit. The reports show the target values considered, adjustable values tested, constraints defined, and sensitivity analysis conducted. The optimal solution allocated $35k to radio, $18k to TV, $30k to newspaper, and $18k to direct mail, achieving a maximum profit of $2,297,000 while satisfying all constraints.

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Harsimrat Singh
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0% found this document useful (0 votes)
35 views

Quantitative Methods For Management-Exercise

This document contains reports from Microsoft Excel that analyze the optimization of a marketing budget allocation across different channels to maximize profit. The reports show the target values considered, adjustable values tested, constraints defined, and sensitivity analysis conducted. The optimal solution allocated $35k to radio, $18k to TV, $30k to newspaper, and $18k to direct mail, achieving a maximum profit of $2,297,000 while satisfying all constraints.

Uploaded by

Harsimrat Singh
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Microsoft Excel 12.

0 Answer Report
Worksheet: [Question-3.xlsx]Sheet1
Report Created: 05-08-2013 00:51:04
Target Cell (Max)
Cell Name Original Value Final Value
$G$4 Profit 2297000 2297000
Adjustable Cells
Cell Name Original Value Final Value
$C$3 Radio 35 35
$D$3 TV 18 18
$E$3 Newspaper 30 30
$F$3 Direct mail 18 18
Constraints
Cell Name Cell Value Formula Status Slack
$G$6 Total cost Profit 87250 $G$6<=$I$6 Not Binding 2750
$G$7 Amt-radio Profit 35 $G$7<=$I$7 Binding 0
$G$8 Amt-TV Profit 18 $G$8<=$I$8 Not Binding 7
$G$9 Amt-newspaper Profit 30 $G$9<=$I$9 Binding 0
$G$10 Amt-Directmail Profit 18 $G$10<=$I$10 Binding 0
$G$11 Profit -5.4 $G$11<=$I$11 Not Binding 5.4
$G$12 Profit 54000 $G$12<=$I$12 Binding 0
$C$3 Radio 35 $C$3>=0 Not Binding 35
$D$3 TV 18 $D$3>=0 Not Binding 18
$E$3 Newspaper 30 $E$3>=0 Not Binding 30
$F$3 Direct mail 18 $F$3>=0 Not Binding 18
Microsoft Excel 12.0 Sensitivity Report
Worksheet: [Question-3.xlsx]Sheet1
Report Created: 05-08-2013 00:51:04
Adjustable Cells
Final Reduced Objective Allowable Allowable
Cell Name Value Cost Coefficient Increase Decrease
$C$3 Radio 35 0 7000 1E+30 7000
$D$3 TV 18 0 50000 1000 50000
$E$3 Newspaper 30 0 18000 1E+30 18000
$F$3 Direct mail 18 0 34000 1E+30 666.6666667
Constraints
Final Shadow Constraint Allowable Allowable
Cell Name Value Price R.H. Side Increase Decrease
$G$6 Total cost Profit 87250 0 90000 1E+30 2750
$G$7 Amt-radio Profit 35 7000 35 7.857142857 35
$G$8 Amt-TV Profit 18 0 25 1E+30 7
$G$9 Amt-newspaper Profit 30 18000 30 3.928571429 13.5
$G$10 Amt-Directmail Profit 18 666.6666667 18 27 10.5
$G$11 Profit -5.4 0 0 1E+30 5.4
$G$12 Profit 54000 27.77777778 54000 2750 24300
Microsoft Excel 12.0 Limits Report
Worksheet: [Question-3.xlsx]Limits Report 1
Report Created: 05-08-2013 00:51:05
Target
Cell Name Value
$G$4 Profit 2297000
Adjustable Lower Target Upper Target
Cell Name Value Limit Result Limit Result
$C$3 Radio 35 0 2052000 35 2297000
$D$3 TV 18 4.5 1622000 18 2297000
$E$3 Newspaper 30 16.5 2054000 30 2297000
$F$3 Direct mail 18 4.5 1838000 18 2297000
Radio TV Newspaper Direct mail
35 18 30 18 Profit
7000 50000 18000 34000 2297000
Constraints
Total cost 350 1800 700 1200 87250 <= 90000
Amt-radio 1 35 <= 35
Amt-TV 1 18 <= 25
Amt-newspaper 1 30 <= 30
Amt-Directmail 1 18 <= 18
0.6 -0.4 -0.4 -0.4 -5.4 <= 0
1800 1200 54000 <= 54000

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