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Practice Question - Linear Programming

RMC produces two chemical products, a fuel additive and solvent base, from three raw materials. The raw material requirements to produce one ton of each product are shown in a table. RMC has limited quantities of each raw material available for the current production period. The goal is to maximize profit by determining how much of each product to produce given the raw material constraints and profit contributions of $40 per ton of fuel additive and $30 per ton of solvent base.

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825 views1 page

Practice Question - Linear Programming

RMC produces two chemical products, a fuel additive and solvent base, from three raw materials. The raw material requirements to produce one ton of each product are shown in a table. RMC has limited quantities of each raw material available for the current production period. The goal is to maximize profit by determining how much of each product to produce given the raw material constraints and profit contributions of $40 per ton of fuel additive and $30 per ton of solvent base.

Uploaded by

Lahiyru
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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RMC, Inc., is a small firm that produces a variety of chemical based products.

In a particular production
process, three raw materials are used to produce two products: a fuel additive and a solvent base. The
fuel additive is sold to oil companies and is used in the production of gasoline and related fuels. The three
raw materials are blended to form the fuel additive and solvent base as indicated in Table 1, which shows
that a ton of fuel additive is a mixture of 0.4 tons of material 1 and 0.6 tons of material 3. A ton of solvent
base is a mixture of 0.5 tons of material 1, 0.2 tons of material 2, and 0.3 tons of material 3.

Table 1: Material Requirements per Ton for the RMC Problem


Product
Fuel Additive Solvent Base
Material 1 0.4 0.5
Material 2 - 0.2
Material 3 0.6 0.3

RMC’s production is constrained by a limited availability of the three raw materials. For the current
production period, RMC has available the following quantities of each raw material:

Material Amount Available for Production


Material 1 20 tons
Material 2 5 tons
Material 3 21 tons

Because of spoilage and the nature of the production process, any materials not used for current
production are useless and must be discarded. The accounting department analyzed the production
figures, assigned all relevant costs, and arrived at prices for both products that will result in a profit
contribution of $40 for every ton of fuel additive produced and $30 for every ton of solvent base produced.

i. Construct objective function.


ii. Develop all possible constraints.
iii. Construct non-negativity constraint.
iv. Find the optimal solution using graphical solution procedure.

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