0% found this document useful (0 votes)
62 views16 pages

Module 2 - Linear Program Model Formulation

The document describes a linear programming model formulation for two sample problems: 1) The Reddy Mikks Company produces paints and wants to maximize daily profit by determining optimal production amounts. The LP model defines decision variables, objective function to maximize profit, and constraints on raw material usage and demand. 2) Obice Farms uses a feed mixture and the LP model will be formulated to determine the optimal mixture amounts to minimize costs while meeting nutritional requirements.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
62 views16 pages

Module 2 - Linear Program Model Formulation

The document describes a linear programming model formulation for two sample problems: 1) The Reddy Mikks Company produces paints and wants to maximize daily profit by determining optimal production amounts. The LP model defines decision variables, objective function to maximize profit, and constraints on raw material usage and demand. 2) Obice Farms uses a feed mixture and the LP model will be formulated to determine the optimal mixture amounts to minimize costs while meeting nutritional requirements.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 16

COLLEGE OF ENGINEERING AND INFORMATION TECHNOLOGY

Department of Industrial Engineering and Technology

IENG 85A – OPERATIONS RESEARCH 1


First Semester, AY 2022 – 2023

MODULE 2: LINEAR PROGRAM MODEL


FORMULATION
Definition and Formulation of Linear Programs

Name: RAVELO ARVIE N.


Last Name First Name M.I

Student No: 202011466


Date Submitted: OCT 4, 2022

Assessed by: MARY JOYCE P. ALCAZAR Remarks:

Instructor

IENG 85A - Operations Research 1


Date Assessed:

1. OBJECTIVES

After successfully completing this module, you will be able to:

a. Define and characterize the different parts of an LP model, and


b. Formulate linear programming models.

2. INSTRUCTIONS TO THE LEARNERS

This module focuses on two topics: (a) definition and characterization of the different
parts of a linear programming model, and (b) formulation of LP models. This also contains a
three (3) item pre-test which aims to gauge your idea of the topics mentioned, followed by a
pre-test feedback which will contain your class’ score for the aforementioned test. Under the
learning activities section are the contents of the module (lecture) and learning assessment
(activity). Lastly, a post-test is found at the end of the module to measure your learning for the
topic and a post-test feedback for your instructor’s remarks.

3. PRE-TEST

● This is a tool for solving optimization problems.


a. Linear programming
b. Logic programming
c. C++ language
d. Java language

● These are the restrictions on the values of the decision variables that are needed to be
satisfied.
a. Optimality condition
b. Feasibility condition
c. Objective function
d. Constraints

● This is the characteristic of the optimal solution which means that it yields the best value
for the objective function.
a. Optimal
b. Feasible
c. Normally distributed
d. Consistent

4. PRE-TEST FEEDBACK

IENG 85A - Operations Research 1


5. LEARNING ACTIVITIES

a. Content of the Module

1. Definition and Characteristics of an LP Model

Mathematical models are used to represent the actual situation and to arrive at valid
results to aid in the decision-making process. The scientific approach of solving problems
under operations research (OR) exploits the use of mathematical models.

The most common tool for solving these mathematical models is called linear
programming (LP). This mostly deals with problems concerning the allocation of scarce
resources to competing activities in the most optimal and feasible way.

These are the steps in the construction of an LP model:

a) Study the given situation. Hence, identify the decision variables of the problem.
Decision variables are variables whose values are under the control of the system
and thus, can influence its performance.

b) Formulate the objective function. These are the goals to be optimized, either profit
maximization or cost minimization, or both.

c) Formulate the constraints of the problem. These are the restrictions on the values of
the decision variables that are needed to be satisfied, and are sometimes identified as
‘Subject To’.

d) Add the non-negativity constraints. These are added to ensure that the decision
variables will obtain a positive value after the iteration.

An optimization / LP model aims to find values of the decision variables that are at the
same time, optimal and feasible. A solution of the model is feasible if it satisfies all the
constraints. It is optimal, if in addition to being feasible, it yields the best (maximum or
minimum) value of the objective function.

The general OR model can be organized in the following format:

Let x, y, or z = Decision Variables

Maximize or minimize Objective Function

Subject To:
Constraints
Non-negativity constraints

2. Linear Programming Model Formulation

This part entails the steps on how to analyze an optimization problem, to identify and
classify the unknown and known variables, and to formulate its corresponding linear
programming model leading to its solution.

IENG 85A - Operations Research 1


Problems will be presented alongside the guides in the development of an optimization
model.

● Problem Sample 1: The Reddy Mikks Company

Reddy Mikks produces both interior and exterior paints from two raw materials, M1 and
M2. The following table provides the basic data of the problem:

Tons of raw material per ton of Maximum daily


Exterior paint Interior paint availability (tons)

Raw material, M1 6 4 24

Raw material, M2 1 2 6

Profit per ton ($000) 5 4

A market survey indicates that the daily demand for interior paint cannot exceed that for
exterior paint by more than 1 ton. Also, the maximum daily demand for interior paint is 2 tons.

Reddy Mikks wants to determine the optimum (best) product mix of interior and exterior
paints that maximizes the total daily profit.

Decision Variables:
These are unknown variables, what is to be determined? In this instance, the company wants to determine the
number of exterior and interior paints to be produced daily. Variables (letters, most commonly used are x, y and z)
shall denote these unknown variables. Representation should be expressed with complete details (unit, frequency of
production, etc.)

Let: X1 = the amount of exterior paint to be produced daily, in tons


X2 = the amount of interior paint to be produced daily, in tons
The total profit to be gained is also unknown, and is also required to be determined.

Z = total daily profit

Objective Function:
To construct the objective function, note that the company wants to maximize (i.e. increase as much as possible) the
total daily profit of both paints. Given that the profits per ton of exterior and interior paints are 5 and 4 (thousand)
dollars, respectively, the objective of the company to maximize profit can be represented as:

Max Z = $5X1 + $4X2

Subject To:
Next, the constraints of the problem are on the raw material usage and product demand. The restriction of raw
materials can be expressed as usage of raw material by both paints is less than (≤) the maximum raw material
availability. This means that the consumption of the raw materials should be below or equal to its availability.

Referring to the table above, the daily usage of the raw material M1 is 6 tons per ton of exterior paint and 4 tons
per ton of interior paint. Because the daily availability of raw material M1 is limited to 24 tons, the restriction will
be:

6X1 + 4X2 ≤ 24
Also, the daily usage of raw material M2 is 1 per ton of exterior paint and 2 tons per ton of interior paint, with an
availability of 6 tons daily. Hence:

IENG 85A - Operations Research 1


X1 + 2X2 ≤ 6
The first market demand restriction requires that the excess of the daily production of interior paint over that of
exterior paint (X2 – X1), should not exceed 1 ton, which translates to:

X2 – X1 ≤ 1 or -X1 + X2 ≤ 1
The second demand restriction stipulates that the maximum daily demand of interior paint is limited to 2 tons,
which translates to:

X2 ≤ 2
Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Reddy Mikks model is:

Max Z = $5X1 + $4X2

Subject To:

6X1 + 4X2 ≤ 24
X1 + 2X2 ≤ 6
-X1 + X2 ≤ 1
X2 ≤ 2
X1, X2 ≥ 0

● Problem Sample 2: Diet Problem

Obice Farms uses at least 800lb of special feed daily. The special feed is a mixture of
corn and soybean meal with the following compositions:

lb per lb of feedstuff
Feedstuff Cost ($/lb)
Protein Fiber

Corn 0.09 0.02 0.30

Soybean meal 0.60 0.06 0.90

The dietary requirements of the special feed are at least 30% protein and at most 5%
fiber. Obice Farms wishes to determine the daily minimum cost of the feed mix.

Decision Variables:
Because the feed mix consists of corn and soybean meal, the decision variables of the model are defined as:

Let: X1 = the amount of corn in the daily mix, in lbs


X2 = the amount of soybean meal in the daily mix, in lbs
The total cost to be incurred is also unknown, and is also required to be determined.

Z = total daily cost

Objective Function:

IENG 85A - Operations Research 1


The objective function seeks to minimize the total daily cost (in dollars) of the feed mix and is thus expressed as:

Min Z = $0.30X1 + $0.90X2

Subject To:
The constraints of the model reflect the daily amount needed and the dietary requirements. Because Obice Farms
needs at least 800lb of feed a day, the associated constraint can be expressed as:

X1 + X2 ≥ 800
As for the protein dietary requirement constraint, the amount of protein included in X 1 lb of corn and X2 lb of
soybean meal is (0.09X1 + 0.60X2) This quantity should equal at least 30% of the total feed mix (X 1 + X2) lb, that is:

0.09X1 + 0.60X2 ≥ 0.30(X1 + X2)


In a similar manner, the fiber requirement of at most 5% is constructed as:

0.02X1 + 0.06X2 ≤ 0.05(X1 + X2)


These last two constraints can be simplified by moving the terms X 1 and X2 to the left-hand side of each inequality,
leaving only a constant on the right-hand side.

0.21X1 – 0.30X2 ≤ 0
0.03X1 – 0.01X2 ≥ 0
Having all the constraints considered, non-negativity constraints are added to the model.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Diet Problem model is:

Min Z = $0.30X1 + $0.90X2

Subject To:

X1 + X2 ≥ 800
0.21X1 – 0.30X2 ≤ 0
0.03X1 – 0.01X2 ≥ 0
X1, X2 ≥ 0

● Problem Sample 3: Liver-Steak Diet

The minimum daily requirement of Vitamin D patients following surgery is 180 units
while the maximum amount of Vitamin B12 that they may receive is 150 units. The hospital
dietician is considering liver and steak for the daily diet.

Each kg of liver cost ₱75, while each kg of steak cost ₱200. One kg of liver yields 1060
units of Vitamin D and 705 of Vitamin B12. One kg of steak yields 1057 units of Vitamin B12
and 53 units of Vitamin D. Find the least cost per diet per patient per day.

Decision Variables:
The vitamin requirements of the surgery patients can be found on the liver and steak to be served. A combination of
these two may be made by the dietician. Hence, our decision variables are the amount of each item to be included
in the diet.

Let: X1 = the amount of liver for the patient’s daily diet requirement
X2 = the amount of steak for the patient’s daily diet requirement

IENG 85A - Operations Research 1


It is also stated in the problem to identify the least cost of the patient’s daily diet. Hence,

Z = total minimum cost per diet per patient per day

Objective Function:
The objective function can be expressed as the summation of the cost of each item multiplied to the variables
representing them.

Min Z = ₱75X1 + ₱200X2

Subject To:
A kilogram of liver contains 1060 units and a kilogram of steak yields 53 units of Vitamin D. These shall be equated
to the minimum requirement of the dietician that is 180 units.

1060X1 + 53X2 ≥ 180

Moreover, a kilogram of liver also contains 705 units and a kilogram of steak yields 1057 units of Vitamin B12.
These shall be equated to the maximum requirement that the patients may receive which is 150 units.

705X1 + 1057X2 ≤ 150


Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Liver-Steak Diet model is:

Min Z = ₱75X1 + ₱200X2

Subject To:

1060X1 + 53X2 ≥ 180


705X1 + 1057X2 ≤ 150
X1, X2 ≥ 0

● Problem Sample 4: The AB Company

A company produces two products, A and B. The sales volume for A is at least 80% of
the total sales of both A and B. However, the company cannot sell more than 100 units of A
per day. Both products use one raw material, of which the maximum daily availability is 240
lb. The usage rates of the raw material are 2lb per unit of A and 4lb per unit of B. The unit
profit for A and B are $20 and $50, respectively. Determine the optimal product mix of the
company.

Decision Variables:
The problem requires us to determine the number of units of the two products that will give us the best (optimal)
combination.

Let: X1 = units of product A to be produced daily


X2 = units of product B to be produced daily
This optimal product mix will also obtain the maximum daily profit for the company.

Z = total daily profit

Objective Function:

IENG 85A - Operations Research 1


The summation of the unit profits for both products multiplied to their respective decision variables will constitute
the company’s total daily profit. Thus,

Max Z = $20X1 + $50X2

Subject To:
When the sales volume of the two products are combined, 80% of that combination should be allocated for product
A. This can be translated to this equation:

0.80(X1 + X2) ≤ X1
Moving all variables to the left-hand side of the equation results to:

-0.20X1 + 0.80X2 ≤ 0
Product A is also restricted to a sales volume of 100 units per day.

X1 ≤ 100
The usage rates of the raw materials for the two products are to be equated to the maximum availability which is
240 lbs. This translates to:

2X1 + 4X2 ≤ 240


Having all the constraints considered, non-negativity constraints are added to the model.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete AB Company model is:

Max Z = $20X1 + $50X2

Subject To:

-0.20X1 + 0.80X2 ≤ 0
X1 ≤ 100
2X1 + 4X2 ≤ 240
X1, X2 ≥ 0

● Problem Sample 5: The Burroughs Garment Co.

The Burroughs Garment Company manufactures men shirts and women blouses for
Walmark Discount Stores. Walmark will accept all the production supplied by Burroughs. The
production process includes cutting, sewing and packaging. Burroughs employs 25 workers in
the cutting department, 35 in the sewing department, and 5 in the packaging department. The
factory works one 8-hour shift, only 5 days a week.

The following table gives the time requirements and profits per unit for the two
garments:

Minutes per unit


Garment Unit Profit (₱)
Cutting Sewing Packaging

Shirts 20 70 12 8.00

Blouses 60 60 4 12.00

IENG 85A - Operations Research 1


Decision Variables:
Although not directly stated, the problem requires us to identify the optimal mix of the two products of the company.
Decision variables are stated as follows:

Let: X1 = the number of shirts produced per week


X2 = the number of blouses produced per week

Data given are on a weekly basis. Thus, the value of the profit to be generated is:

Z = total weekly profit

Objective Function:
The profit per unit of men shirts and women blouses are ₱8 and ₱12, respectively. The objective function for this
problem is written as:

Max Z = ₱8X1 + ₱12X2

Subject To:
Products undergo through three processes. The duration per unit of the product on each station are given on the
table. In the cutting department, per unit of shirt is processed for 20 minutes and a blouse is processed for 60
minutes. These requirements shall be equated to the total available minutes of the department. The available time
per week will be converted into minutes, for equal degree of measurements from what is given on the table. The
total minutes per week is 2,400 (from the 60 minutes per hour, multiplied by 8 hours per shift, multiplied by 5 shifts
per week) and to be multiplied again to the available number of workers which is 25. This results to the total
available time of 60,000 minutes.

20X1 + 60X2 ≤ 25 * (60 min/hr * 8 hrs/shift * 5 shifts/week)

20X1 + 60X2 ≤ 60,000


For the sewing department constraint, men shirts are processed for 70 minutes while women blouses are processed
for 60 minutes. These values shall be equated to the total available time which is 2,400 minutes per week multiplied
by the available number of workers which is 35. This results to 84,000 minutes per week.

70X1 + 60X2 ≤ 35 * (60 min/hr * 8 hrs/shift * 5 shifts/week)

70X1 + 60X2 ≤ 84,000


The packaging department constraint consists of the usage rates on the left-hand side of the equation paralleled to
the maximum available time. Referring to the given data, men shirts undergo packaging for 12 minutes while
women blouses go through packaging for 4 minutes. The available time for the week which is 2,400 minutes is
multiplied to the available number of workers which is 5. This results to 12,000 minutes per week.

12X1 + 4X2 ≤ 5 * (60 min/hr * 8 hrs/shift * 5 shifts/week)

12X1 + 4X2 ≤ 12,000


Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Burroughs Garment Co. model is:

Max Z = ₱8X1 + ₱12X2

Subject To:

IENG 85A - Operations Research 1


20X1 + 60X2 ≤ 60,000
70X1 + 60X2 ≤ 84,000
12X1 + 4X2 ≤ 12,000
X1, X2 ≥ 0

● Problem Sample 6: Peanut-Raisin Candy Shop

A small candy shop is preparing for the holiday season. The owner must decide how
many bags of Deluxe Mix and how many bags of Standard Mix of Peanut-Raisin Delite to put
up. The Deluxe Mix has 2/3-pound raisins and 1/3-pound peanuts, and the Standard Mix has
1/2-pound raisins and 1/2-pound peanuts per bag. The shop has 90 pounds of raisins and 60
pounds of peanuts to work with.

Peanuts cost $0.60 per pound and raisins cost $1.50 per pound. The Deluxe Mix will sell
for $2.90 per pound and the Standard mix will sell for $2.55 per pound. The owner estimates
that no more than 110 bags of one type can be sold. If the goal is to maximize profits, how
many bags of each type should be prepared?

Decision Variables:
We must identify the quantity of the Deluxe Mix and Standard Mix bags to be prepared. Thus, the decision variables
are written as follows:

Let: X1 = the number of Deluxe Mix bags to be produced


X2 = the number of Standard Mix bags to be produced

The goal is also to maximize the company’s profit. Hence,

Z = total profit

Objective Function:
The problem requires us to identify the maximum profit from the sales of these products. However, the profit is not
directly given. Selling prices per mix and the cost of the raw materials per pound are indicated.

The profit for the Deluxe Mix is obtained by subtracting the summation of the prices of the raw materials per pound
which are multiplied to their usage, from the selling price. The Deluxe Mix contains 2/3-pound raisins which cost
$1.50 per pound, and 1/3-pound peanuts which cost $0.60 per pound. Solving these results to a raw material cost of
$1.20. To get the profit, $2.90 - $1.20 = 1.70.

Likewise, the profit for the Standard Mix is obtained by also subtracting the summation of the prices of the raw
materials per pound which are multiplied to their usage, from the selling price. The Standard Mix contains 1/2-
pound raisins which cost $1.50 per pound, and 1/2-pound peanuts which cost $0.60 per pound. Solving these
results to a raw material cost of $1.05. To get the profit, $2.55 - $1.05 = 1.50.

Max Z = {$2.90 – [($1.50 * 2/3) + ($0.60 * 1/3)]} X1 +


{$2.55 – [($1.50 * 1/2) + ($0.60 * 1/2)]} X2

Max Z = $1.70X1 + $1.50X2

Subject To:
There is only 90 pounds of raisins available for production. This is equated to the usage of the raw materials per
type of mix.

2/3X1 + 1/2X2 ≤ 90
60 pounds of peanuts are available for production and is paralleled to the usage for the two holiday mixes.

1/3X1 + 1/2X2 ≤ 60
Additionally, there is also a constraint that the sales of the mix bags are limited to 100.

IENG 85A - Operations Research 1


X1 ≤ 110
X2 ≤ 110
Having all the constraints considered, non-negativity constraints are added to the model.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Peanut-Raisin Candy Shop model is:

Max Z = $1.70X1 + $1.50X2

Subject To:

2/3X1 + 1/2X2 ≤ 90
1/3X1 + 1/2X2 ≤ 60
X1 ≤ 110
X2 ≤ 110
X1, X2 ≥ 0

● Problem Sample 7: Oranj by BevCo

BevCo manufactures an orange-flavored soft drink called Oranj by combining orange


soda and orange juice. Each ounce of orange soda contains 0.5oz of sugar and 1mg of Vitamin
C. Each ounce of orange juice contains 0.25oz of sugar and 3mg of Vitamin C. It costs BevCo
2¢ to produce an ounce of orange soda and 3¢ to produce an ounce of orange juice. BevCo’s
marketing department has decided that each 10oz bottle or Oranj must contain at least 20mg of
Vitamin C and at most 4oz of sugar. Use linear programming to determine how BevCo can
meet the marketing department’s requirement at minimum cost.

Decision Variables:
The soft drink is produced by combining orange soda and orange juice. Thus, our decision variables are expressed
as:

Let: X1 = the number of ounces of orange soda per bottle of Oranj


X2 = the number of ounces of orange juice per bottle of Oranj

Finding the minimum cost for production is also unknown.

Z = total minimum cost

Objective Function:
The cost per ounce of orange soda and orange juice are 2¢ and 3¢, respectively.

Min Z = 2¢X1 + 3¢X2

Subject To:
Each ounce of soda contains 0.5oz of sugar while there is 0.25oz of sugar per ounce of orange juice. These are to
be equated to the company’s requirement of at most 4oz of sugar per bottle of Oranj.

0.5X1 + 0.25X2 ≤ 4
Each bottle of Oranj must contain at least 20 mg of Vitamin C. This can be obtained from the combination of
orange soda and orange juice which contains 1mg and 3mg, respectively.

X1 + 3X2 ≥ 20

IENG 85A - Operations Research 1


It Is also stated that each bottle of Oranj is equal to 10oz.

X1 + X2 = 10
Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Oranj by BevCo model is:

Min Z = 2¢X1 + 3¢X2

Subject To:

0.5X1 + 0.25X2 ≤ 4
X1 + 3X2 ≥ 20
X1 + X2 = 10
X1, X2 ≥ 0

● Problem Sample 8: Automotive Company

An auto company manufactures cars and trucks. Each vehicle must be processed in the
paint shop and body assembly shop. If the paint shop were only painting trucks, 40 trucks per
day could be painted. If the paint shop were only painting cars, 60 cars per day could be
painted. If the body shop were only producing cars, it could process 50 cars per day. If the
body shop were only producing trucks, it could process 50 trucks per day.

Each truck contributes $300 to profit and each car contributes $200 to profit. Use linear
programming to determine the daily production schedule that will maximize the company’s
profits.

Decision Variables:
The problem requires us to identify the number of trucks and cars to be produced on a daily basis. Thus,

Let: X1 = the number of trucks to be produced daily


X2 = the number of cars to be produced daily

This combination will attain the company’s maximum daily profit.

Z = total daily profit

Objective Function:
The profit for the trucks and cars that will be manufactured are $300 and $200, respectively.

Max Z = $300X1 + $200X2

Subject To:
If the paint shop is only painting trucks, it could paint a total of 40 trucks. If the shop only accommodates cars, it
could process a total of 60 cars. If a combination of these products shall be produced on a single day, there is a
certain fraction of each type to be processed.

1/40X1 + 1/60X2 ≤ 1
The same concept is also applicable in the body shop department.

IENG 85A - Operations Research 1


1/50X1 + 1/50X2 ≤ 1
Having all the constraints considered, non-negativity constraints are added to the model.

Non-Negativity Constraint:

X1, X2 ≥ 0

The complete Automotive Company model is:

Max Z = $300X1 + $200X2

Subject To:

1/40X1 + 1/60X2 ≤ 1
1/50X1 + 1/50X2 ≤ 1
X1, X2 ≥ 0

b. Learning Assessment

Activity 3: LP Model Formulation


Instructions: Three worded problems are given below to assess your ability to develop them into LP models.

Problem 1: Sissy Sweets Supreme has 250 kgs of chocolate-covered strawberries and 210 kgs
of chocolate-covered dried mangoes in stock. The owners, Ara and Karen, decides to sell them
in the form of two different mixtures. One mixture will contain half strawberries and half
mangoes by weight and will sell for ₱199 per kg. The other mixture will contain one-third
strawberries and two-thirds dried mangoes and will sell for ₱225 per kg. How many kg of each
mixture should the owner prepare in order to maximize their company’s sales revenue?
Decision Variables: X1 = The amount of chocolate covered strawberries
to be added in mixture

X2= The amount of chocolate covered dried


Mangoes to be added in mixture.

Z = Total company's sales revenue

Objective Function: Max 7 = 9199 X, + P225 X,


Subject To: X1 = 250

X2 = 210

Non-negativity Constraint:

Problem 2: Paper Park Ltd. produces three kinds of paper: retro, coated, and fine. Each cargo
of retro paper produces a net revenue of ₱37,500, each cargo of coated paper produces a net

IENG 85A - Operations Research 1


revenue of ₱42,800, and each cargo of fine paper produces a revenue of ₱43,500. For the
present planning period, Paper Park has 105 units of spruce and 82 units of hemlock to work
with. To produce a cargo of retro paper, 2 units of spruce and 2 units of hemlock are required.
To produce a cargo of coated paper, 3 units of spruce and 1 unit of hemlock are required. To
produce a cargo of fine paper, 2 units of spruce and 3 units of hemlock are required. Paper
Park wants to determine how many cargos or partial cargo of each kind of paper to produce so
that the net revenue is maximized.
Decision Variables:

Objective Function:

Subject To:

Non-negativity Constraint:

Problem 3: Unnie Shop is considering social media advertising to boost its sales.
Alternatives are thru Facebook, YouTube and Instagram. The table below shows the costs and
estimates of audience coverage for each type of social media:

Estimated audience per


Social Media Platform Cost per advertisement
advertisement (in 000)
Facebook ₱5,000 250
YouTube ₱5,300 300
Instagram ₱4,800 180

Facebook limits the number of daily advertisements to fifteen. Moreover, to balance the
advertising among the three types of media, no more than half of the total number of
advertisements should be displayed on Instagram, and at least 20% should be played on
YouTube. The weekly advertising budget is ₱60,000. How many advertisements should be
displayed in each social media platform to maximize the total audience?
Decision Variables:

Objective Function:

Subject To:

IENG 85A - Operations Research 1


Non-negativity Constraint:

6. POST-TEST

● This is a tool for solving optimization problems.


a. Linear programming
b. Logic programming
c. C++ language
d. Java language
● These are the restrictions on the values of the decision variables that are needed to be
satisfied.
a. Optimality condition
b. Feasibility condition
c. Objective function
d. Constraints
● This is the characteristic of the optimal solution which means that it yields the best value
for the objective function.
a. Optimal
b. Feasible
c. Normally distributed
d. Consistent
7. POST-TEST FEEDBACK

8. REFERENCES

Hillier, F. and G. Lieberman. (2010). Introduction to Operations Research. 9th Edition.


McGraw-Hill.

Taha, H. (2009). Operations Research. 8th Edition. New Jersey, Prentice Hall.

Winston, W (2004). Operations Research Application and Algorithms. 4th Edition.


Singapore. Thomson Learning Asia.

IENG 85A - Operations Research 1


IENG 85A - Operations Research 1

You might also like