Linear Programming Problem small firm makes three similar products, which all fo

Question

Linear Programming Problem small firm makes three similar products, which all follow the same three-step process, consisting of milling, inspection, and drilling Product A requires 12 minutes of milling, 5 minutes for inspection, and 10 minutes of drilling per unit; product B requires 10 minutes of milling, 4 minutes for inspection, and 8 minutes of drilling per unit and product C requires 8 minutes of milling, 4 minutes for inspection, and 16 minutes of drilling. The department has 20 hours available during the next period for milling, 15 hours for inspection, and 24 hours for drilling. Product A contributes R.02.40 per unit to profit, B contributes R.O 2.50 per unit, and C contributes R.O 2.5 per unit. The aim is to maximize profit. The computer solution of the problem is provided below Objective Cell (Max) Original Value Final Value Cell Name SHS2 325 Variable Cells Original Value Final Value Cell Name SC$2 XI SDS2 X2 SES2 X3 Constraints Slack Surplus Status Binding Not Binding Bindin Cell Value Formula Cell SBS6 Milling LHS SBS7 Inspection LHS SBS8 Drilling LHS Name 1200 SBS6 1200 520 SBS7-900 1440 SBS8

Explanation / Answer

l) Please find the solution of part (l)

for 1 hr increase in Milling - increase in profit 0.208

for 1 hr increase in Drilling- increase in profit 0.052

This is obtained from the Shadow price in constraints table.

Hence total change would be -2*0.208 + 5* 0.052= -0.156

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