IND315 Operations Research I, Fall 2023, by Ç. Özgün Kibiroğlu
IND315 Operations Research I, Fall 2023, by Ç. Özgün Kibiroğlu
1. Dorian Auto manufactures luxury cars and trucks. The company believes that its most likely
customers are high-income women and men. To reach these groups, Dorian Auto has embarked
on an ambitious TV advertising campaign and has decided to purchase 1-minute commercial
spots on two types of programs: comedy shows and football games. Each comedy commercial is
seen by 7 million high-income women and 2 million highincome men. Each football commercial
is seen by 2 million high-income women and 12 million high-income men. A 1-minute comedy ad
costs $50,000, and a 1-minute football ad costs $100,000. Dorian would like the commercials to
be seen by at least 28 million high-income women and 24 million high-income men. Use linear
programming to determine how Dorian Auto can meet its advertising requirements at minimum
cost.
IND315
PS Handout #2 - IE Operations Research,
3001 Operations Research Fall
I , Fall 2023,
2009, by by Ç. Özgün
S. Ağralı & Ç.Kibiroğlu
Özgün 2
3. Money manager Boris Milkem deals with French currency (the franc) and American currency (the
dollar). At 12 midnight, he can buy francs by paying .25 dollars per franc and dollars by paying 3
francs per dollar. Let x1 : number of dollars bought (by paying francs) and x2 : number of francs
bought (by paying dollars). Assume that both types of transactions take place simultaneously,
and the only constraint is that at 12:01 A.M. Boris must have a nonnegative number of francs
and dollars.
(a) Formulate an LP that enables Boris to maximize the number of dollars he has after all
transactions are completed.
(b) Graphically solve the LP and comment on the answer.
IND315
PS Handout #2 - IE OperationsResearch,
3001 Operations Research Fall
I , Fall 2023,
2009, byAğralı
by S. Ç. Özgün& Ç.Kibiroğlu
Özgün 4
max z = x1 −3x2
s.t. x1 − x2 ≤ 4
x1 − 2x2 ≥ 4
x1 , x2 ≥ 0
5. True or False
• Constract the equality form of model by introducing slack variables x5 , x6 for the two
constraints
• What is an upper bound on the number of basic solutions?
• Analytically determine the set of basic solutions by listing all possible selections of the basic
variables. Identify whether or not these solutions are feasible, and indicate the corresponding
objective function values. Which one is optimal?