1. Sony, a television company, has three major departments for the manufacture of its two models, A and B. The monthly capacities are given as follows:
Per Unit Time Requirement (hours)
Model A
Model B
Hours Available this Month
Department I
4.0
2.0
1,600
Department II
2.5
1.0
1,200
Department III
4.5
1.5
1,600
The marginal profit per unit from model A is Birr 400 and that of model B is Birr 100. Assuming that the company can sell any quantity of either product due to favorable market conditions, determine the optimum output for both the models, the highest possible profit for this month and the slack time in the three departments.
Required
a) Formulate the problem as LPM
b) Solve the LPM using graphical method.
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