Microsoft Excel 16.

0 Answer Report
Worksheet: [The Lockbox Problem.xlsx]Cap
Report Created: 21-11-2018 09:25:54
Result: Solver found a solution. All Constraints and optimality conditions are satisfied.
Solver Engine
Engine: Simplex LP
Solution Time: 0.031 Seconds.
Iterations: 35 Subproblems: 0
Solver Options
Max Time 100 sec, Iterations 100, Precision 0.000001, Use Automatic Scaling
Max Subproblems Unlimited, Max Integer Sols Unlimited, Integer Tolerance 5%, Solve Without Integer Constraints, Assume

Objective Cell (Min)

Cell Name Original Value Final Value
$B$43 Total Cost = City 1 (Los Angeles) ₹88,000.00 ₹242,000.00

Variable Cells
Cell Name Original Value Final Value
$B$30 Region 1 West City 1 (Los Angeles) 1 1
$C$30 Region 1 West City 2 (Chicago) 0 0
$D$30 Region 1 West City 3 (New York) 0 0
$E$30 Region 1 West City 4 (Atlanta) 0 0
$B$31 Region 2 Midwest City 1 (Los Angeles) 0 0
$C$31 Region 2 Midwest City 2 (Chicago) 1 0
$D$31 Region 2 Midwest City 3 (New York) 0 1
$E$31 Region 2 Midwest City 4 (Atlanta) 0 0
$B$32 Region 3 East City 1 (Los Angeles) 0 0
$C$32 Region 3 East City 2 (Chicago) 0 0
$D$32 Region 3 East City 3 (New York) 1 1
$E$32 Region 3 East City 4 (Atlanta) 0 0
$B$33 Region 4 South City 1 (Los Angeles) 0 0
$C$33 Region 4 South City 2 (Chicago) 0 0
$D$33 Region 4 South City 3 (New York) 0 1
$E$33 Region 4 South City 4 (Atlanta) 1 0
$B$34 Lockbox? City 1 (Los Angeles) 0 1
$C$34 Lockbox? City 2 (Chicago) 0 0
$D$34 Lockbox? City 3 (New York) 0 1
$E$34 Lockbox? City 4 (Atlanta) 0 0

Constraints
Cell Name Cell Value Formula
$B$49 Region 1 West City 1 (Los Angeles) 0 $B$49>=0
$C$49 Region 1 West City 2 (Chicago) 0 $C$49>=0
$D$49 Region 1 West City 3 (New York) 1 $D$49>=0
$E$49 Region 1 West City 4 (Atlanta) 0 $E$49>=0
$B$50 Region 2 Midwest City 1 (Los Angeles) 1 $B$50>=0
$C$50 Region 2 Midwest City 2 (Chicago) 0 $C$50>=0
$D$50 Region 2 Midwest City 3 (New York) 0 $D$50>=0
$E$50 Region 2 Midwest City 4 (Atlanta) 0 $E$50>=0
$B$51 Region 3 East City 1 (Los Angeles) 1 $B$51>=0
$C$51 Region 3 East City 2 (Chicago) 0 $C$51>=0
$D$51 Region 3 East City 3 (New York) 0 $D$51>=0
$E$51 Region 3 East City 4 (Atlanta) 0 $E$51>=0
$B$52 Region 4 South City 1 (Los Angeles) 1 $B$52>=0
$C$52 Region 4 South City 2 (Chicago) 0 $C$52>=0
$D$52 Region 4 South City 3 (New York) 0 $D$52>=0
$E$52 Region 4 South City 4 (Atlanta) 0 $E$52>=0
$G$30 Region 1 West 1 $G$30=$H$30
$G$31 Region 2 Midwest 1 $G$31=$H$31
$G$32 Region 3 East 1 $G$32=$H$32
$G$33 Region 4 South 1 $G$33=$H$33
$B$30:$E$34=Binary
nteger Constraints, Assume NonNegative

Integer
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary
Binary

Status Slack
Binding 0
Binding 0
Not Binding 1
Binding 0
Not Binding 1
Binding 0
Binding 0
Binding 0
Not Binding 1
Binding 0
Binding 0
Binding 0
Not Binding 1
Binding 0
Binding 0
Binding 0
Binding 0
Binding 0
Binding 0
Binding 0
Microsoft Excel 16.0 Sensitivity Report
Worksheet: [The Lockbox Problem.xlsx]Cap
Report Created: 21-11-2018 09:25:54

Variable Cells
Final Reduced Objective Allowable
Cell Name Value Cost Coefficient Increase
$B$30 Region 1 West City 1 (Los Angeles) 1 0 28000 12000
$C$30 Region 1 West City 2 (Chicago) 0 0 84000 22000
$D$30 Region 1 West City 3 (New York) 0 22000 112000 1E+030
$E$30 Region 1 West City 4 (Atlanta) 0 22000 112000 1E+030
$B$31 Region 2 Midwest City 1 (Los Angeles) 0 0 60000 4000
$C$31 Region 2 Midwest City 2 (Chicago) 0 0 20000 22000
$D$31 Region 2 Midwest City 3 (New York) 1 0 50000 6000
$E$31 Region 2 Midwest City 4 (Atlanta) 0 0 50000 10000
$B$32 Region 3 East City 1 (Los Angeles) 0 32000 96000 1E+030
$C$32 Region 3 East City 2 (Chicago) 0 0 60000 4000
$D$32 Region 3 East City 3 (New York) 1 0 24000 6000
$E$32 Region 3 East City 4 (Atlanta) 0 0 60000 4000
$B$33 Region 4 South City 1 (Los Angeles) 0 24000 64000 1E+030
$C$33 Region 4 South City 2 (Chicago) 0 0 40000 4000
$D$33 Region 4 South City 3 (New York) 1 0 40000 0
$E$33 Region 4 South City 4 (Atlanta) 0 12000 16000 1E+030
$B$34 Lockbox? City 1 (Los Angeles) 1 -12000 50000 12000
$C$34 Lockbox? City 2 (Chicago) 0 0 50000 22000
$D$34 Lockbox? City 3 (New York) 1 0 50000 6000
$E$34 Lockbox? City 4 (Atlanta) 0 0 50000 1E+030

Constraints
Final Shadow Constraint Allowable
Cell Name Value Price R.H. Side Increase
$B$49 Region 1 West City 1 (Los Angeles) 0 62000 0 1
$C$49 Region 1 West City 2 (Chicago) 0 6000 0 1
$D$49 Region 1 West City 3 (New York) 1 0 0 1
$E$49 Region 1 West City 4 (Atlanta) 0 0 0 0
$B$50 Region 2 Midwest City 1 (Los Angeles) 1 0 0 1
$C$50 Region 2 Midwest City 2 (Chicago) 0 40000 0 0
$D$50 Region 2 Midwest City 3 (New York) 0 10000 0 1
$E$50 Region 2 Midwest City 4 (Atlanta) 0 10000 0 0
$B$51 Region 3 East City 1 (Los Angeles) 1 0 0 1
$C$51 Region 3 East City 2 (Chicago) 0 4000 0 0
$D$51 Region 3 East City 3 (New York) 0 40000 0 0
$E$51 Region 3 East City 4 (Atlanta) 0 4000 0 0
$B$52 Region 4 South City 1 (Los Angeles) 1 0 0 1
$C$52 Region 4 South City 2 (Chicago) 0 0 0 0
$D$52 Region 4 South City 3 (New York) 0 0 0 0
$E$52 Region 4 South City 4 (Atlanta) 0 36000 0 0
$G$30 Region 1 West 1 90000 1 1
$G$31 Region 2 Midwest 1 60000 1 1
$G$32 Region 3 East 1 64000 1 0
$G$33 Region 4 South 1 40000 1 0
Allowable
Decrease
1E+030
12000
22000
22000
10000
6000
4000
12000
32000
6000
4000
12000
24000
0
4000
12000
1E+030
6000
4000
12000

Allowable
Decrease
0
0
1E+030
1E+030
1E+030
0
0
0
1E+030
0
0
0
1E+030
1E+030
0
0
0
0
0
0
Microsoft Excel 16.0 Limits Report
Worksheet: [The Lockbox Problem.xlsx]Cap
Report Created: 21-11-2018 09:25:55

Objective
Cell Name Value
$B$43 Total Cost = City 1 (Los Angeles) ₹242,000.00

Variable Lower Objective Upper

Cell Name Value Limit Result Limit
$B$30 Region 1 West City 1 (Los Angeles) 1 #N/A #N/A #N/A
$C$30 Region 1 West City 2 (Chicago) 0 #N/A #N/A #N/A
$D$30 Region 1 West City 3 (New York) 0 #N/A #N/A #N/A
$E$30 Region 1 West City 4 (Atlanta) 0 #N/A #N/A #N/A
$B$31 Region 2 Midwest City 1 (Los Angeles) 0 #N/A #N/A #N/A
$C$31 Region 2 Midwest City 2 (Chicago) 0 #N/A #N/A #N/A
$D$31 Region 2 Midwest City 3 (New York) 1 #N/A #N/A #N/A
$E$31 Region 2 Midwest City 4 (Atlanta) 0 #N/A #N/A #N/A
$B$32 Region 3 East City 1 (Los Angeles) 0 #N/A #N/A #N/A
$C$32 Region 3 East City 2 (Chicago) 0 #N/A #N/A #N/A
$D$32 Region 3 East City 3 (New York) 1 #N/A #N/A #N/A
$E$32 Region 3 East City 4 (Atlanta) 0 #N/A #N/A #N/A
$B$33 Region 4 South City 1 (Los Angeles) 0 #N/A #N/A #N/A
$C$33 Region 4 South City 2 (Chicago) 0 #N/A #N/A #N/A
$D$33 Region 4 South City 3 (New York) 1 #N/A #N/A #N/A
$E$33 Region 4 South City 4 (Atlanta) 0 #N/A #N/A #N/A
$B$34 Lockbox? City 1 (Los Angeles) 1 #N/A #N/A #N/A
$C$34 Lockbox? City 2 (Chicago) 0 #N/A #N/A #N/A
$D$34 Lockbox? City 3 (New York) 1 #N/A #N/A #N/A
$E$34 Lockbox? City 4 (Atlanta) 0 #N/A #N/A #N/A
Objective
Result
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
#N/A
 THE LOCKBOX PROBLEM

TO
City 2
City 1 City 3 City 4 Avg Daily
(Chicago)
(Los Angeles) (New York) (Atlanta) Value

FROM
Region 1 West 2 6 8 8 $70,000
Region 2 Midwest 6 2 5 5 $50,000
Region 3 East 8 5 2 5 $60,000
Region 4 South 8 5 5 2 $40,000

The annual Lost Interest Cost:

Annual Interest: 20%
TO
City 2
City 1 City 3 City 4
(Chicago)
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West $28,000 $84,000 $112,000 $112,000
Region 2 Midwest $60,000 $20,000 $50,000 $50,000
Region 3 East $96,000 $60,000 $24,000 $60,000
Region 4 South $64,000 $40,000 $40,000 $16,000
Lockbox Cost $50,000 $50,000 $50,000 $50,000

Assign Region i to City j (Yes=1, No = 0)

City 2
TO
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West 1 0 0 0 1 =
Region 2 Midwest 0 0 1 0 1 =
Region 3 East 0 0 1 0 1 =
Region 4 South 0 0 1 0 1 =
Lockbox? 1 0 1 0
(Yes = 1, No = 0)
Annual Interest
Cost = 142000

Annual Lockbox
Cost = 100000

Total Cost = $242,000.00

LINKING CONSTRAINTS
TO
City 2
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West 0 0 1 0
Region 2 Midwest 1 0 0 0
Region 3 East 1 0 0 0
Region 4 South 1 0 0 0
1
1
1
1
 THE LOCKBOX PROBLEM

The amount of FLOAT:

Av. Daily
City 2 TO Value:
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West 2 6 8 8 $70,000
Region 2 Midwest 6 2 5 5 $50,000
Region 3 East 8 5 2 5 $60,000
Region 4 South 8 5 5 2 $40,000

The annual Lost Interest Cost:

Annual Interest: 20%

City 2
TO
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West $28,000 $84,000 $112,000 $112,000
Region 2 Midwest $60,000 $20,000 $50,000 $50,000
Region 3 East $96,000 $60,000 $24,000 $60,000
Region 4 South $64,000 $40,000 $40,000 $16,000
Lockbox Cost $50,000 $50,000 $50,000 $50,000

Assign Region i to City j (Yes=1, No = 0)

City 2
TO
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM Assignment Constraint
Region 1 West 1 0 0 0 1 =
Region 2 Midwest 0 0 1 0 1 =
Region 3 East 0 0 1 0 1 =
Region 4 South 0 0 1 0 1 =
Lockbox? 1 0 1 0
(Yes = 1, No = 0)

Annual Interest
Cost = 142000

Annual Lockbox
Cost = 100000

Total Cost = $242,000.00

VUB CONSTRAINTS
TO
City 2
City 1 (Chicago) City 3 City 4
(Los Angeles) (New York) (Atlanta)
FROM
Region 1 West 0 0 1 0
Region 2 Midwest 1 0 0 0
Region 3 East 1 0 0 0
Region 4 South 1 0 0 0
t Constraint
1
1
1
1