12. Define iso-profit line. How does it help to obtain solution to the linear programming problems? 13. What is a redundant constraint? What does it imply? Does it affect the optimal solution to an LPP? 14. How would you know whether the solution to a linear programming problem is unique or not? In this Connection, state the conditions that should be satisfied for more than one optimal solution to a problem to exist. : 15. With the help of suitable sketches, define convex, non-convex and infeasible regions in relation to the raphical solution ofa linear programming problem, \ (44.Com, Delhi, 2008) PRACTICAL PROBLEMS 1. Consider the ‘productior n planning of The § ¥ The steel requis i ‘€ Super Fast Manufactur; : quirement for P : ulacturing Coi i it ‘machined on lathe which take, 7 00 gm per Plece and that for vis 35 Names which ee s 85 and 50, minutes Tespectively, and — a ck 2 aC are Processed on a grinder whic Scanned with CanLinear Pre I: Formulation and Graphic Solution __59 requires 55 and 30 minutes respectively, Each unit of P consumes 20 minutes of polishing time, The resource availability is: Total Machine Time 1,450 hours. Total Sicel - 250 kg 30 per cent of total machine time is that of lathe, 50 per cent of grinder and the remaining of polishing. Unit contribution to profits for P and is Rs 40 and Rs 30, respectively, Formulate this as a linear programming model for determining the number of units of P and V to be produced which would maximise the profits. Given also is the constraint that the company cannot sell ‘more units of item P than of item V. . A company manufactures 3 types of parts which use precious metals platinum and gold. Due to shortage of these precious metals, the government regulates the amount that may be used per day. The relevant data with respect to supply, requirements, and profits are summarised in the table as follows: Product Platinum requiredhnit Gold required/unit Profithunit (gms) * (gms) (Rs) A oF 3 500 B 4 2 600 c 6 4 1,200 Daily allotment of platinum and gold are 160 gm and 120 gm respectively. How should the company divide the supply of scarce precious metals? Formulate it as a linear programming problem, . Amanufacturer of purses makes four styles of purses: a three-compartment bag which takes 45 minutes to assemble; a shoulder-strap bag, taking one hour to assemble; a tote bag, needing 45 minutes for assembly, and pocket purse requiring 30 minutes to assemble. There are 32 hours of assembly time available per day. The profit contribution on the sale of a three-compartment bag is Rs 16, Rs 25 on a shoulder-strap bag, and Rs 12 each on tote bag and pocket purse. Special kind of fancy pins are used in decorating pocket purses and they are available for only 30 pieces. Different type of pins are used in other three types of bags of which only 70 are in stock. Enough raw material is available fora total of 60 pocket purses and tote bags which need same quantity of raw material. ‘The manufacturer estimates a minimum demand of 6 pocket purses and 10 shoulder strap bags every day, Formulate a linear programming problem to optimise daily production, ; An clectronies company is engaged in the production of two components C, and C,, Each unit of C, costs the company Rs 5 in wages and Rs 5 in materials, company Rs 25 in wages and Rs 15 in materials, The company sells bot terms, but the company’s labour and material expenses must be paid i Rs 30 per unit and of C, it is Rs 70. Because of the strong monopoly ‘ents, itis assumed that the company can sell at the prevailin, company’s production capacity is, however, Period 1, the company has initial balance of credit sales). Second, the company has avail: used in radio sets. while cach unit of C, costs the th products on one-period credit in cash, The selling price of C, is of the company for these compo- 8 Prices as many units as it produces. The limited by two considerations, First, at the beginning of Rs 4,000 (cash plus bank credit plus collections from past lable, in each period, 2,000 hours of machine time and 1,400 Scanned with Cane Techniques in Management 60 Quani i Te hours of assembly time, The production of Soe assembly time, whereas the production of each C, of assembly time, : alinea gra g problem. ate the above problem as a linear programming problem 5, ee of 4 month, a lady has Rs 30,000 available in cash. She expects to receive Certain . At the 1 revenues at the beginning of the months 1, 2, 3 and 4 and pay the bills afler that, as detailed here; quires 3 hours of mach ne uires 2 hours of machine time and three ieee Month Revenue Bills 1 Rs 28,000 Rs 36,000 2 Rs 52,000 Rs 31,000 3 Rs 24,000 Rs 40,000 4 Rs 22,000 Rs 20,000 Itis given that any money left over may be invested for one month at the interest rate of 0.5%; for two months at 1.0% per month; for three months at 1.5% per month and for four months at 1.8% per month, Formulate her problem as a linear Programming problem to determine an investment strategy that maximises cash in hand at the beginning of the month 5, 6. Formulate the following as a linear programming problem: A publishing house publishes three weekly magazines—Daily life, Agriculture Today, and Surf's Up. Publication of one issue of each of these magazines Tequires the following amounts of production time and paper. Magazine Production (hour) Paper (kg) Daily Life 0.01 0.2 Agriculture Today 0.03 05 Surf's Up 0.02 03 issues. The productioy week in order to maxi a magazine to produce per 7. A Mutual Fund ¢ 7 (MBA, Dethi, November, 2008 stocks, Speculative ne, has Rs 20 lakhs available for investment in Govern, ea. x Socks, sp stocks and short-term bank acpi The ment bonds, blue chip given as follows: annual expected return and risk factors Type ofinvestment Annual expected retam tins Risk factor (0 t0 100) Blue Chip Stocks 3 5 Speculative Stocks ‘a 2 Short-term Deposits . 12% 6 ovaiiteu witth Gal!10. Linear Programming I: Formulation and Graphic Solution _ 61 Mutual Fund is required to keep at least Rs 2 lakhs in short-term deposits and not to exceed ap average risk factor of 42. Speculative stocks must be at most 20 percent of the total amount invested. How should Mutual Find invest the funds uo as to maximise ts total expected anal return? Formulate this asa Linear Programming Problem. Do not solve it, (CA, May, 1996) ‘A company Prodnoes three types of parts for automatic washing machines, It purchases castings of the Parts from local foundry and then finishes the parts on drilling, shaping, and polishing machines. The selling prices of parts 4, B and C respectively, are Rs 8, Rs 10 and Rs Lt All parts made can be sold. SF Tr™rti—“‘—O™—OCO.DUC.____ SS only one of cach type of machine. Costs per hour to run each of the three machines are Rs 20 for Grilling, Rs 30 for shaping and Rs 30 for polishing. The capacities (parts per hour) for each part on each machine are shown in the following table: ee Ce h ee, 'apacity per hour Part A PartB Part Drilling 25 40 25 Shaping 25 20 20 Polishing 40 30 40 _— el The manager of the company wants to know how many parts of each type to produce per hour in order to maximise profit for the hour’s run, Formulate the above as a linear programming problem. (MBA, Delhi, October, 1997) - Dr Shilpa Soni, the head administrator at XYZ hospital must determine a schedule for nurses to make sure there are enough nurses on duty throughout the day. During the day, the demand for nurses varies. Dr. Shilpa has broken the day in to 12 two-hour periods. The slowest time of the day encompasses the three periods from 12:00 AM to 6:00 AM, which, beginning at midnight, require a minimum of 30, 20 and 40 nurses respectively. The demand for nurses steadily increases during the next four daytime periods. Beginning with the 6:00 AM to 8:00 AM periods, a minimum of 50, 60, 80 and 80 nurses are required for these four periods respectively. For the five two-hour periods beginning at 2:00 PM and ending at midnight, 70, 70, 60, 50 and $0 nurses are required respectively. A nurse reports for duty at the beginning of one of the two hour periods and works eight consecutive hours (which is required in the nurses’ contract). Dr Shilpa Soni wants to determine a nursing schedule that will meet hospital's minimum requirements throughout the day while using the minimum number of nurses. Formulate the above as an LPP. (MBA, Delhi, November, 2008) Evening shift resident doctors in the B’ Healthy Hospital work five consecutive days and have two consecutive days off. Their five days of work can start on any day of the week and the schedule rotates indefinitely. The hospital requires the following minimum number of doctors working: a a rose 38 55 60 30 60 50 45 Scanned with Can62 Quantitative Techniques in Management 62_ Quantitative Techniques in Management s . Formulate a general line No more than 40 doctors ean start their five working days on ie hil ge “ar programming model to minimise the number of doctors emp! oye ete pe LL. Four products have to be processed through the plant, the quantities requ period being: . Product 1 2,000 units Product 2 3,000 units Product 3 3,000 units Product 4 6,000 units There are three production lines on which the products could be processed. The rates of Production in units per day and the total available capacity in days are given in the following table. The cost of using the lines is Rs 600, Rs 500 and Rs 400 per day respectively: Production Product Maximum line line 2 3 4 Capacity (days) 150 100 500 400 20 2 200 100 760 400 20 3 160 80 890 600 18 Total 2,000 3,000 3,000 6,000 Formulate as a linear programming problem to minimise the cost of operation 12. A certain firm has two plants. Orders from four customers have been received, The number of units ordered by each customer and the shipping cost fr rom each plant are shown in the following table: ‘Shipping cost Rs)unie Customer Units ordered peecae ieee From plant 1 From plant 2 A 500 15 40 B 300 20 30 c 1,000 30 25 D 200 35 20 Each unit of the product must be machined and assembled, These costs, together with the capacities at each plant, are shown below: Hours/Unit Cost(Rs) Hour Hours available Plant No. Machining 0.10 40 Assembling 020 30 a Plant No, 2: : = Machining on ’ Assembling 02 : on 30 250 Scanned with Can13. 14, 15. Linear Programming I: Formulation and Graphic Solution 63 Formulate a linear programming problem to minimise cost, (MBA, Dethi, December, 1993) Formulate the following as a linear programming problem, Do not solve, A trucking company with Rs 40,00,000 to vehicles, Vehicle thas a 10-tonne pay-load 80,000, Vehicle 8 has a 20-tonne pay-load 1,30.000. Vehicle Cis a modified form of B: its capacity to 18 tonnes and raises the cost to end on new equipment is contemplating three types of and is expected to average 35 km per hour. It costs Rs ind is expected to average 30 km per hour, It costs Rs carries sleeping quarter for one driver, and this reduces Rs 1,50,000. Vehicle A requires a crew of one man, and in for an average of 18 hours per day. Vehicles B and C Rage 0 Foe eas, here 2 wes be ts 18 ae per day with three shifts, C could average 21 hours per day. The company has 150 drivers availablocet, day and would find it very difficult to obtain further crews. Main ities are such that the total number of vehicles must uld be purchased if the company wishes to maximise (MBA, Delhi, November, 1995) Arefinery makes three grades of petrol 4, B, C from three crude oils 4, eand f. Crude oil fean be used ‘many grade but the others must satisfy the following specifications. Grade Selling price per litre Specification A 18.0 Not fess than 50% crude d Not mote than 25% crude B 16.5 Not less than 25% crude d Not more than 50% crude e c iba No specifications ‘Thete are capacity limitations on the amounts ofthe three crude elements that can be used: Crude Capacity (Kd) Price per litre a 500 19.5 e 500 14s f 360 15.1 ‘Itis desired to obtain maximum profit. Formulate this as a Linear Programming Problem. A company wants to plan production for the ensuing year so as to minimise the combined cost of production and inventory storage costs, In each quarter ofthe year, demand is anticipated to be 65, 80, 135 and75 respectively. The product can be manufactured during regular time ata cost of Rs 16 per unit Produced, or during overtime at a cost of Rs 20 per unit. The table given below gives data pertinent to Production capacities. The cost of carrying one unit in inventory per quarter is RS 2. The inventory level atthe beginning of the first quarter is zero, Capacities (units) Quarter ee Quarterly Regular time Overtime demand fl 80 ‘ 10 65 2 90 10 + 80 a 95 20 135 a 0, 10 15 7 Scanned with Can